LTC: A Conversation Worth HavingJulie Brooks
Most of you know how to start the conversation about Long-Term Care planning with your clients, but are you making it a priority to actually have these discussions on a regular basis?
Consumers Are Acknowledging the Need
According to a recent survey conducted by one of our Strategic Carrier Providers, consumers have insightful thoughts on the importance of planning for Long-Term Care.
- 85% agree that it is irresponsible not to plan, but they can’t bring themselves to address the issue.
- 75% state they have so many other concerns, that addressing the risk for care is not a priority.
- 60% agree that purchasing Long-Term Care Insurance is the best way to handle the cost of care.
Meet Their Needs
The national average cost for care in a nursing home is about $85,000 a year. If costs increase at an average 4.1% a year,the average cost will be $286,000 a year in 20 years. With this level of financial risk, the value of planning is clear. You can help your clients by:
- Quantifying the risk to your client’s assets
- Providing plan options that enable them to insure some or all of the risk
- Keeping their budget concerns top of mind
The Ball is in Your Court
Clients are open to having a discussion on Long-Term Care planning. However, most people won’t address the issue without the intervention of a financial advisor. It is important to educate your clients and demonstrate how LTC can be an appropriate solution to help protect their assets and their families.
Make it a priority in your practice, and show them how it fits as a priority in their overall financial plan.
Understand that your clients may not bring up the need to plan for Long-Term Care on their own. It’s up to you to help them secure their future and ensure they have the financial resources should they ever need care.
Take a proactive approach and have Long-Term Care planning discussions with your clients starting at age 50.