Facts about Long Term Care Insurance (LTCI)

• In 2010, nursing home care cost averaged about $230 a day or about $83,950 a year in California. California Partnership for Long Term Care, 2010.
• At least 3 in 4 Americans are either uninsured or underinsured for long term care. The LTC Guild, 2010.
• Among people age 65 and older, 30% have three or more chronic diseases. Connie Limon, Aging and Longevity – Can Our Economy and Health Care System Survive Aging Baby Boomers? July 9, 2007.

• Nearly 79% of people who need long term care live at home or in community settings rather than in institutions. The State of Aging and Health in America, 2004. Merck Institute of Aging and Health.
• The main causes of long term care are Alzheimer’s, stroke, circulatory disease, injury and cancer. The 2010 Sourcebook for LTCI Information. American Association for Long Term Care Insurance, 2010.
• Of those who enter a nursing home, 44% will stay at least one year and 12% will remain longer than five years. California Partnership for Long Term Care, 2010.

• Long term care insurance reduces a person’s chances by 66% of having to spend down his or her savings to the point of impoverishment to qualify for Medicaid assistance. Helping You Take Care. America’s Health Insurance Plans, 2009.
• The average cost for a home health aide or homemaker in San Francisco, Los Angeles, and San Diego is at least $23 per hour. The 2010 Sourcebook for LTCI Information. American Association for Long Term Care Insurance, 2010.
• The long term care insurance industry is proud of its record of paying nearly 97% of all claims submitted. Helping You Take Care. America’s Health Insurance Plans, 2009
• 66% of long term care insurance claims are paid to women. The 2010 Sourcebook for LTCI Information. American Association for Long Term Care Insurance, 2010.
• 62% of long term care insurance applicants between ages 40 and 49 qualified in 2009 for good health discounts, but only 46% of applicants between ages 50 and 59 qualified.The 2010 Sourcebook for LTCI Information. American Association for Long Term Care Insurance, 2010.
• If you meet Medicare requirements, Medicare will only pay the full cost of skilled nursing home care up to the first twenty days of a covered stay and then only a small part of the bill for the next eighty days.Taking Care of Tomorrow. California Department of Aging.
• In general, the annual premium for long term care insurance more than doubles from age 50 to age 60 in a California Partnership policy and more than triples from age 55 to age 65.