Latest Research on Long Term Health Care
Morningstar recently compiled key statistics in the long term care arena. Having a comprehensive financial plan is crucial to ensure your long term health care needs can be financially secured.
Usage of Long-Term Care
70%: Percentage of people turning age 65 who will need some type of long-term-care services in their lifetimes.
48%: Percentage of people turning age 65 who will need some type of paid long-term-care services in their lifetimes.
24%: Percentage of people turning 65 who will require paid long-term care for more than two years.
15%: Percentage of people turning age 65 who will spend more than two years in a nursing home.
3.7 years: Average duration of long-term-care need, women.
2.2 years: Average duration of long-term-care need, men.
67.9%: Percentage of people in long-stay nursing facilities who are women.
The Role of Dementia
3%: Percentage of Americans ages 65-74 who have Alzheimer's dementia. 17%: Percentage of Americans ages 75-84 who have Alzheimer's dementia.
32%: Percentage of Americans age 85-plus who have Alzheimer's dementia. 64%: Percentage of Americans with Alzheimer's dementia who are women.
146%: Percentage increase in the number of people who died from Alzheimer's dementia, 2000-18.
-8%: Percentage decrease in the number of people who died from heart disease, 2000-18.
8-10 years: Average life expectancy following an Alzheimer's diagnosis.
2.8 years: Average length of time between when symptoms begin and when an Alzheimer's dementia diagnosis is made.
Paying for Care
63%: Estimated percentage of individuals age 65 today who will have no outof-pocket long-term-care costs during their lifetimes.
13%: Estimated percentage of individuals age 65 today who will incur out-ofpocket long-term-care costs of between $0.01 and $50,000 during their lifetimes.
11%: Estimated percentage of individuals age 65 today who will incur out-ofpocket long-term-care costs of between $50,000 and $150,000 during their lifetimes.
4%: Estimated percentage of individuals age 65 today who will incur out-ofpocket long-term-care costs of between $150,000 and $250,000 during their lifetimes.
9%: Estimated percentage of individuals age 65 today who will incur out-ofpocket long-term-care costs of more than $250,000 during their lifetimes.
$321,780: Estimated lifetime cost of care for someone with dementia.
$19,240: Median annual cost for adult day care (five days/week), 2020.
$51,600: Median annual cost for assisted-living facility, 2020.
6.15%: Change in median annual cost for assisted living facility since 2019.
$54,912: Median annual cost for a home health aide (44 hours/week; 52 weeks/year), 2020.
$105,850: Median annual nursing-home cost, private room, 2020.
3.57%: Change in median annual nursing-home cost since 2019.
$142,254: Expected median annual nursing-home cost, private room, 2030
(assuming 3% inflation rate).
$256,926: Expected median annual nursing-home cost, private room, 2050
(assuming 3% inflation rate).
$155, 125: Median annual nursing-home cost, private room, New York area, 2020.
$55,710: Median annual nursing-home cost, private room, Monroe, Louisiana, 2020.
$52,312: Median annual income from all sources for individuals who are 65 or older.
20%: Median increase in household wealth over a nine-year period for married people ages 70 and over who did not require long-term care.
-21 %: Median decrease in household wealth over a nine-year period for married people ages 70 who had a long-term-care need.
Long-Term-Care Insurance
57.7: Average age, long-term-care insurance policy purchase.
47.9%: Percentage of long-term-care insurance policies purchased by people between the ages of 55 and 64.
54.2%: Percentage of long-term-care policies purchased by women, 2019. 18.1 %: Percentage of long-term-care policies purchased by single people, 2019.
21.0%: Percentage of new long-term-care policies sold through the workplace.
96.0%: Percentage of just-issued long-term-care policies that include home-care benefits that are at least equal to the in-facility benefit.
125: Number of insurers offering stand-alone long-term-care policies, 2000. ?: Number of insurers offering stand-alone long-term-care policies, 2016.
750,000: Number of individual long-term-care insurance policies sold, 2002.
54,563: Number of individual long-term-care insurance policies sold, 2019.
13.1 %: Percentage drop in number of long-term-care policies sold, 2017-18. 228,000: Number of hybrid life/long-term-care policies sold to individuals, 2015.
461,000: Number of hybrid life/long-term-care policies sold to individuals, 2018.
27%: Percentage of life insurance sales that are hybrid life/long-term-care policies, 2018.
64%: Percentage of long-term-care claims that were paid to women, 2018.
$1,870: Average annual long-term-care premium, 55-year-old male, initial pool of benefits worth $164,000.
$2,965: Average annual long-term-care premium, 55-year-old female, initial pool of benefits worth $164,000.
8.1 %: Percentage increase in long-term-care claims between 2018 and 2019.
22%: Percentage of long-term-care applicants ages 50-59 who were declined coverage.
37%: Percentage of long-term-care applicants ages 65-69 who were declined coverage.
https://office.morningstar.com/research/doc/1013929/100-Must-Know-Statistics-About-Long-Term-Care-Pandemic-Edition
