LONG TERM CARE
Canada is experiencing an unprecedented population growth in those aged 65 and older. With boomers entering retirement ages, our social landscape will continue to change dramatically. With the proportion of retirees to workers increasing, it places extra stress on our health care system. Whether the government can continue to provide the same quality benefits to the boomers entering retirement is a question yet to be answered. Who will take care of us then, and how? To add to the problem, health and long-term care expenses continue to grow faster than inflation, prompting us to wonder how we can afford it. The average stay in a long-term care facility is 3-4 years, with the provincial government subsidizing only the health care costs, leaving you to deal with the cost of accommodation.
The monthly rate for staying at a long-term care facility, or nursing home, ranges from $1,000-$3,000 for government subsidized facilities, and from $3,200-$6,500 for private nursing homes. How will you afford it? What you can do now to prevent your assets from being drained from the cost of living in a nursing home is to purchase a long-term care insurance policy.
A long-term care insurance policy will provide you with a monthly benefit if you are unable to perform 2 of the following 6 activities of daily living (ADL):
- Bathing – The ability to wash oneself in a tub, shower, or sponge bath
- Eating – The ability to feed oneself
- Dressing – The ability to put on or take off clothes or fasten and unfasten them
- Toileting – The ability to get to and from the toilet
- Transferring – The ability to move in and out of a chair, wheelchair, or bed without a cane or other supporting device
- Continence – The ability to maintain bladder control
Or if you begin to suffer from a cognitive impairment.
The lack of long-term care planning is common for the young and elderly alike. Don’t let the need for long-term care catch you by surprise. For more information on long-term care insurance or to request a quote, please feel free to contact us.
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