Plan for Your Long-Term Care
Seniors are the fastest growing demographic in Canada and The Council on Aging of Ottawa estimates that 40 per cent of seniors will, at some point, need long-term care to help them perform regular activities of daily living, be it going to the bathroom, dressing or eating.
All of that care is expensive – whether it involves a nurse conducting a residential visit or placement in a private nursing home. Most group insurance plans don't cover long-term care. Meanwhile, provincial health plans can help, but only to a certain extent, because they are often restricted by limited resources for home care and long waiting lists for facility care. As a result, the financial burden shifts to the affected individuals and their families, which can be a huge drain on savings that may have been earmarked for different purposes, such as children's inheritances.
To protect yourself, you might find it's prudent to purchase long-term care insurance. It can help cushion not just the financial costs of continuing care, but also the substantial emotional and physical burdens associated with it.
Getting older and needing long-term care can be a scary notion, so many people avoid thinking about it. The thought of losing your independence and becoming a burden to family members is understandably unpleasant, and the idea of living in a retirement home can be particularly unappealing for many people.
Long-term care insurance directly addresses these types of concerns. It helps ensure that the care provided is tailored to your needs and delivered by professionals. It also gives you the ability to choose from available care options – so there's the flexibility to be cared for at home instead of having to move to a facility. And it means that family members do not have to fund the care or provide it themselves.
To receive long-term care benefits, a person must have an inability to perform two or more activities of daily living or there must be a significant cognitive impairment.
Generally speaking, the insurance is available for purchase by anyone between the ages of 18 and 80. There can be single-life or shared coverage for couples and coverage amounts up to $2 million, can be provided. There can also be an additional option to purchase inflation protection.
Previous and existing health conditions don't necessarily disqualify clients from being approved for long-term care insurance.
Meet with your financial advisor to evaluate your situation and discuss whether purchasing long-term care insurance might be right for you.
*Edward Jones does not provide tax or legal advice. Review your specific situation with your tax advisor and/or legal professional for information regarding, or issues concerning, the tax implications of making a particular investment or taking any other action.
** Insurance and annuities are offered by Edward Jones Insurance Agency (except in Quebec). In Quebec, insurance and annuities are offered by Edward Jones Insurance Agency (Quebec) Inc.
Ryan McLellan, Financial Advisor
Edward Jones Barrhaven(613) 823-3404