In case you missed it, November is National Long-Term Care Awareness Month.
It’s estimated that nearly 80% of Americans will need LT care at some point in their senior years, and the vast majority will fund it out of their own resources or those of their families.
Providing for LT care is part of the new normal in retirement planning, so if you haven’t broached the matter with clients as yet, now is a fine time to start. Nationwide Retirement Institute recently concluded a survey on retirement planning that can lay the groundwork for your talks with customers.
Part of the problem is the reticence of clients themselves to face the issue. According to the survey, one-third of respondents haven’t discussed the matter with qualified specialists or even with their own spouses. Many people find contemplation of LT care as something beyond unpalatable: fully one-half of those surveyed said they’d rather die than end up in a nursing home.
While some advisers have made themselves specialists in LT care, others are just as confused and perhaps even as intimidated as their clients. Nationwide has created a range of quantitative tools for estimating LT care costs that can be used by advisers to up their game. They’ve held conferences attended by thousands of financial planning specialists to help them understand the issues and strategies for addressing the LT care crisis.
Nationwide has also launched a health savings account (HSA) initiative for consumers. HSA savings are owned by the customer and can be used to cover LT healthcare expenses. The company recommends that advisers begin their conversations with clients by explaining the advantages of HSAs as a hedge against future LT care costs.
For more information, please read:
Long-Term Care Planning Is Still a Great Way to Connect With Clients: Kristi Rodriguez | ThinkAdvisor