What is Long-Term Care (LTC)?

Long-Term Care is the type of assistance you would need if you were unable to handle some of the basic activities of daily living or if you require substantial supervision due to a cognitive impairment

Where Can I Get Long-Term Care Services?

Your home Adult day care facility Assisted living facility

A facility for people who can live somewhat independently, but need assistance with basic activities of daily living

Nursing Home Hospice care

Care provided for a terminally ill patient; can be provided in the home or at a facility

What are the chances…

…that YOU could need long-term care services?

Long-Term Care is a Reality

1) Source: National Clearinghouse for Long Term Care Information, U.S. Department of Health and Human Services: Planning for LTC. Date accessed, January 18, 2012.

2) Source: American Association for Long-Term Care Insurance, 2010 LTCi Sourcebook3) Source: Genworth Cost of Care 2012 Survey; April, 2012

3.8years 2

Average length of majority of long term-care claims

4-8years 3

Average life expectancy after

Alzheimer's diagnosis after age 6570%

Of people over age 65 will require

long-term care1¹

Your Long-Term Care Experiences

Who? Where? How was it paid for? Who provided the care? How long did the person need care? Was the care expected or unexpected? How did long-term care affect the family?

The Cost of Long-Term Care

Average/ Median Cost of Care3

Home health care - $18 per hour Annual cost (based on 40 hours of care): $41,184 Average need of 4.5 years could total: $185,328

Specialized HHC - $19 per hour Annual cost (based on 40 hours of care): $43,472 Average need of 4.5 years could total: $195,624

Adult Day Care averages $61 per day 50 weeks, 5 days a week: $15,250

3) Source: Genworth Cost of Care 2012 Survey; April, 2012

Covering the Cost of LTC

Personal Income and Assets One long-term illness may jeopardize your accumulated

retirement savings If the cost of care was $80,000 to $100,000 a year, how many

years of long-term care could you afford before you depleted YOUR liquid assets?

Covering the Cost of LTC

Family 57% of primary caregivers provide care for more than 16 hours

each week; 31% more than 30 hours each week8

83% of caregivers contributed financial (out-of-pocket), an average of $8,800 annually8

48% of caregivers lost their jobs or missed career opportunities Care was needed due to 45% for a specific illness, 42% age

related frailty, 23% for cognitive impairment, and 13% for rehabilitation after an accident or surgery8

Can your family afford to care for you? Would you want them to?

8) Beyond Dollars, The True Impact of Long Term Caring; Genworth Life Insurance; March 2012

Preparing for Long-Term Care

Only 17% of baby boomers have planned for long-term care needs16

Only 10% of adults over age 65 own a long-term care insurance policy16

9) Sources: A Golden Opportunity: Emerging demographics, new legislature and budget shortfalls have converged to create unprecedented long-term care insurance opportunities for both U.S. insurers and consumers , Resource, LOMA; www.medicare.gov/LongTermCare 2/2008;

Have you thought about long-term care?

Advantages of Private LTC Insurance

Avoid physical and financial dependence on family and friends

Protect your hard-earned assets Maintain choice on how and where to receive care Assure high-quality care, at an affordable price Stay at home when you need care Maintain your independence

Limitations may apply. Please reference policy documents for specific limitations

Planning is Always the Best Option!

Many often put off the decision of how they will afford long-term care Too often, people wait until they critically need care. By then,

they may not qualify for insurance Remember: the healthier you are, the longer you are likely to live.

The longer you live, the more likely it is that you will need long-term care

Evaluate your situation Discuss the emotional and financial issues with your

family Explore all the options

DISCLOSURES:

The opinions voiced in this material are for general information only and not intended to provide specific advice or recommendations for any individual. To determine which investment (s) may be appropriate for you, consult your financial advisor prior to investing. All performance referenced is historical and is no guarantee of future results. All indices are unmanaged and cannot be invested into directly.

Life insurance policies contain exclusions, limitations, reductions of benefits, and terms from keeping them in-force. Your financial professional can provide you with costs and complete details.

SECURITIES OFFERED THROUGH LPL FINANCIAL

MEMBER FINRA/SIPC

WE NEED TO TALK