Long Term Care Events Take an Emotional and Financial Toll on Caregivers

Seventy-three percent of primary caregiving family members say that a long-term care event has reduced their savings plans, according to a report by Genworth Financial. Of these respondents, 80% have decreased their retirement contributions. In addition nearly half of primary caregivers have lost a job or missed career opportunities as a result of family care giving responsibilities.

Colleen Goldhammer, senior vice president, financial institutions distribution, at Genworth said, “Too often, people measure the cost of long-term care simply in dollar terms, not taking into account the many other ways that it can affect a family. The most important step families can take to preserve their well being is to engage in proactive discussion around long-term care planning. An agent or advisor can play a key role in encouraging clients to take this important first step. Financial advisors have an opportunity to become valuable allies to pre-retirees considering ways to protect against the financial and emotional costs of a long term care event.”
The cost of long-term care continues to rise at steady pace nationally. The hourly rate for licensed home care is $19 while the median daily rate for a private room in a nursing home is $206, according to Genworth’s 2010 Cost of Care Survey.
Family relationships often suffer as a result of a long-term care event. Primary and secondary caregivers reported an increase in stress with their spouse, siblings, and with their children. In addition, 20% of primary caregivers and 12% of secondary caregivers said that their caregiving left them with less time to spend with their children. Goldhammer said that Advisors and agents are encouraged ask their clients whether a long-term care event is affecting their quality of life and the lives of their family members. The website, www.caringtalk.com, offers tips on how to break the ice to discuss long-term care issues with family members, guidance from experts, helpful dos and don’ts, and advice from people who have taken the important first step of discussing long-term care with their own families. For more information, visit www.caringtalk.com.