5 Reasons Why Women Need LTCi

March 25, 2014


Long term care insurance (LTCi) is specifically designed to pay for all levels of care— whether skilled or custodial—which are not typically covered by health insurance. This is the reason why it is one of the most important policies for a person to have. But for women, the need for this type of coverage is even greater. Here are the reasons why women need to consider getting protected though this policy:

1. Women live longer.

The main reason why women need LTCi is because they live longer. On average, women live five to seven years longer than men. Since this is the case, they are more likely to need long term care for extensive periods of time.

2. Women need long term care more.

Since women live longer, they have a higher tendency to live in a disabled state, especially in their elder years. Women who live beyond 65 years old will be disabled for an average of 2 sildenafil tablets.8 years. Those who live beyond 80 are expected to live in a disabled state for an average of 5 years.

Looking at the residents of long term care settings like nursing homes and assisted living facilities, we can see that the majority of their population is made up of women. 70% of nursing home residents and 75.7% of residents residing in assisted living communities are women. Meanwhile, women also comprise two-thirds the people receiving care in the home both from paid and unpaid sources.

3. Women file most LTCi claims.

Data on annual LTCi claims show that women benefit greatly from this policy. They account for about two-thirds of claims that are paid annually. In fact, the largest claim for 2013, which exceeds $1.8 million, was paid to a woman.

Genworth’s Chief Executive, Tom McInerney, said that 58% of their long term care insurance policyholders are women and almost 67% of claims are filed by women.

4. Women are more susceptible to poverty.

Women need to focus on their long term care planning as they have higher chances of ending up poor due to caregiving, remaining single, or being divorced, separated or widowed.

Often when a woman takes on the role of a caregiver, her chances of ending up in poverty double and the possibility that she’ll rely on Social Security grows five-fold. Meanwhile, those who don’t have a spouse, whether divorced, widowed or unmarried, tend to have lower incomes and limited financial resources.

5. More women live alone.

Women have a higher tendency of living alone later in life. Again, this is because of their longer life span. In fact, about half of women who are 75 years old are living alone, whereas only 22% of men of that age are by themselves.

When women end up alone, their household income drops dramatically. A 75-year-old woman who lives by herself has a household income of $14,600, which is less than half of what a married couple has.

Apart from a lower income, women who live alone will most likely rely on paid care since they have no one around to take care of them. Family members and friends can provide care, but if a woman’s care requirements are more extensive than what their loved ones can provide for, then paid care services are the better choice. Long term care insurance can pay for these services and ensure that the recipient gets the right type of care.

Indeed, long term care is a women’s issue. It is a pressing concern that they need to address and prepare for. Based on the reasons stated, the best way to have a safety net is through a long term care insurance policy.

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