A friend recently came to a decision that fewer and fewer of us are able to make. At the age of 64 he bought long-term care insurance for himself and his wife.
Sales of long-term care insurance, which helps pay for home health care and stays in a nursing home, among other things, have declined in recent years, according to a study by Conning Research & Consulting. Only about 6 percent of all long-term care costs are now funded by insurance.
And this is happening even as the baby boom generation moves toward their ’80s, when many of them will need long-term care and may not be able to afford it. Nursing homes today cost an average of $81,000 a year, according to Genworth’s Cost of Care study — and that figure will only rise. (continue reading…)