A recent survey, conducted by Market Probe Canada, shows that more Canadians are concerned about the unexpected costs of care and protecting their assets.
- 57% worry paying for care
- 67% fear deteriorating health
- 90% feel that preparing for your own long-term care needs is the responsible thing to do
One way to protect your savings, estate and quality of life is to be prepared for long-term care costs.
So what are the options for preparing for long-term care costs?
Relying on the government to fund and provide all your care needs
Given the aging population and increasing demand on our health-care system, government benefits may be limited This can be very stressful and costly from a financial, physical and emotional standpoint.
Relying on your own resources to pay for care
Most people want to avoid dipping into their hard-earned assets and savings. So it may be an attractive decision to put a plan in place that helps cover the costs of long-term care and avoid asset erosion.
Long-term care insurance
A relatively new insurance product in Canada, it provides a regular source of funds to pay for long-term care. In a recent survey, the main reasons people purchase long-term care insurance include:
- 82% do not want to be a burden on family
- 80% want the option of choosing where to receive care
- 76% want control over decisions about care
- 75% want to make sure their dignity is maintained
- 72% wish to preserve assets for their partner
- 71% want to ensure a high quality of care
- 61% wish to leave an inheritance for their children
This article is supplied by Angelo D’Amico, a Vice President, Portfolio Manager with RBC Dominion Securities Inc. Member CIPF. This article is for information purposes only. Please consult with a professional advisor before taking any action based on information in this article. Angelo D’Amico can be reached at 514-878-5196.
Insurance products are offered through RBC DS Financial Services Inc., a subsidiary of RBC Dominion Securities Inc. When providing life insurance products, Investment Advisors are acting as Insurance Representatives of RBC DS Financial Services Inc.