Just 4% of the population has made firm plans to fund their future long-term care needs while two thirds (63%) have not even considered the matter, according to ABI research. This is despite 94% of people predicting that care home fees will cost them at least £10,000 a year.
Results from the ABI's Quarterly Consumer Survey for the last three months of 2010 illustrate that people clearly understand care costs will be very significant, but that very few people plan ahead to meet these costs. One in five thought they would either not have to move into a home (12%) while 8% believed the state would pay. Of the 17% who had considered how to meet LTC expenses, 11% were relying on the sale of their home and 2% were expecting friends and family to fund care.
Currently about 20% of men and 30% of women will require long term care at some point in their lives, suggesting that more planning is necessary.
What the results do not make clear is:
- There are only a tiny handful of long-term care insurances currently available
- As we get healthier, fewer will need long-term care in the future
- Even those in care now, on average spend two years in care
- Future technology will help more get care in their own home
- The modern medical view is that care at home is preferable
- Nobody knows how care and medicine will develop in the next fifty years.