LTC Bullet:  Long-Term Caregiving:  Latest Data

Friday, October 23, 2015


LTC Comment:  We source a cornucopia of new data and analysis on long-term elder caregiving after the ***news.***

*** TODAY'S LTC BULLET is sponsored by Claude Thau, a GA whose proprietary tools help advisors find clients and reduce the “Ping-Pong” in the LTCi sales process. Help clients make informed final decisions about buying LTCi in 15-20 minutes!  Gauge a client's true interest in a combo product immediately!  Change work-site LTCi sales from a series of proposal deliveries to a single interactive consultation!  Claude is the lead author of the Milliman Broker World LTCi Survey, one of Senior Market Advisor's 10 "Power People" in LTCi in 2007, a past Chair of the Center for Long-Term Care Financing. Test Claude by calling 800-999-3026, x2241 or email him at to ask questions or get references. ***

*** LTC CLIPPINGS subscribers received notification, including citations, links, key quotes and our commentary, for each of the reports highlighted in today’s LTC Bullet on or near their dates of publication.  Tune into LTC Clippings by contacting Damon at 206-283-7036 or damon@centerltc.comLTC Clippings subscribers know more news and analysis faster than their prospects, clients, colleagues or competitors. ***

*** REVERSE MORTGAGES:  We recently sent the LTC Clipping below about a series of articles on how to use reverse mortgages for retirement and longevity planning.  Center Regional Representative Romeo Raabe from Green Bay, Wisconsin replied with this creative extra idea: 

“And if you use the proceeds of the reverse mortgage to fund a life income annuity from State Life--the one that underwrites your health so that the shorter your life expectancy, the better the payout--you may end up with lifetime benefits far greater than any other possibility to fund your care.  I have a homeowner in Green Bay who is still in her home with five days per week home care funded by this method from a reverse mortgage.”

10/21/2015, “When Does A Reverse Mortgage Make the Most Sense?Quite seriously… when you don’t need it; Part III in a three-part series,” by Stephen R. Greenberg, Life & Health Advisor

Quote:  “Let’s take a quick look at the last two articles in this series and review what we’ve discussed so far. In the first, ‘A Practical Solution for Funding Longevity,’ I discussed that a reverse mortgage line of credit, when used in addition to, or in place of, long-term care insurance (LTCI), can be an effective way to support a client’s long-term care protection plan, particularly if the client is self-insured, or can’t afford or does not qualify for LTCI.

“In article two, ‘Reverse Mortgage Adds Alternative Retirement Funding Strategy,’ we talked about the common strategies of the ‘Three-legged Stool,’ delaying Social Security, working longer and saving more, and how a reverse mortgage fits within those strategies. . . .

“The use of a reverse mortgage as part of a client’s comprehensive overall retirement plan is a strategy that’s increasingly being embraced by leading financial experts. How can you incorporate home equity into a retirement plan for the best possible outcome for your client? The first step is education, and I hope these articles have helped.”

LTC Comment:  This series of articles is well worth reading. ***

*** LTC SALES SUMMIT ONLINE.  Jesse Slome of AALTCI reminds us that Tuesday, Oct. 27th is the date for the free LTC Sales Summit broadcast from Washington D.C.  If you’ve registered already, just click here on that day at that time and watch!  Otherwise, go to and sign-up for access.  The broadcast starts at 8:15 AM eastern and continues all day (until about 5:00 PM).  Most sessions are 15-to-18 minutes presented by top LTC industry experts.  SUGGESTION:  Click here and print out the schedule.  That way you can pick the sessions you won't want to miss!  Your Center for Long-Term Care Reform will be tuned in.  Be there too. ***


10/22/2015, “IRS Issues Long-Term Care Premium Deductibility Limits for 2016,” ElderLawAnswers

Quote:  “The Internal Revenue Service (IRS) is increasing the amount taxpayers can deduct from their 2016 taxes as a result of buying long-term care insurance.”

Attained age before the close of the taxable year

Maximum deduction for year

40 or less


More than 40 but not more than 50


More than 50 but not more than 60


More than 60 but not more than 70


More than 70


LTC Comment:  We’ve updated these numbers in The Zone here:  Deductibility Limits for Long-Term Care Insurance.  There you’ll find the LTCI tax deductibility limits for every year all the way back to the first in 1997, after passage of the Health Insurance Portability and Accountability Act of 1996 that authorized LTCi tax deductibility.  Need a reminder of your user name and password for access to The Zone?  Contact Damon at 206-283-7036 or ***



LTC Comment:  In the past month, three major reports on elder caregiving in the United States have appeared.  Today’s LTC Bullet gives you links to and highlights of those reports with our comments.

Report #1:  “Unpaid Eldercare in the United States —2013-14:  Data from the American Time Use Survey,” Bureau of Labor Statistics, 9/23/2015

Highlights:  “Sixteen percent (40.4 million) of the civilian noninstitutional population age 15 and over provide unpaid eldercare, the U.S. Bureau of Labor Statistics reported today. Of the 40.4 million eldercare providers, a majority are employed (61 percent) and nearly one-half are employed full time (47 percent). These estimates are averages for the 2-year period of 2013-14; combining the 2 years of data facilitates a more in depth analysis of eldercare.”

LTC Comment:  This BLS report contains extensive data on unpaid caregiving in the USA, but no estimate of its dollar value.  For that ($470 billion per year) see:  Susan C. Reinhard, et al., “Valuing the Invaluable: 2015 Update, Undeniable Progress, but Big Gaps Remain,” AARP Public Policy Institute, July 2015, p. 1.

Report #2:  “Beyond Dollars: Caregivers Face Career Crisis Resulting from Lack of Long Term Care Planning, According to Genworth Study,” Genworth, Market Watch, 10/1/2015

Highlights:  “Providing care for loved ones has taken a toll on the careers of half of caregivers surveyed in Genworth's latest Beyond Dollars study, with 11 percent actually losing their jobs and another 10 percent having to change careers. That's in addition to the other financial, physical and emotional impacts of caregiving examined in the study. ”

LTC Comment:  It’s not just the money—a powerful message for prospects in denial of LTC risk.  Read this report for details on how caregivers and the care they provide are changing; how caregiving negatively impacts caregivers’ health, careers, and retirement savings; and how planning mitigates stress and negative impacts.

Report #3:  “The Disproportionate Impact Of Dementia On Family And Unpaid Caregiving To Older Adults,” by Judith D. Kasper, Vicki Freedman, Brenda C. Spillman, and Jennifer L. Wolff, Health Affairs, 10/9/2015.

Highlights:  “The number of US adults ages sixty-five and older who are living with dementia is substantial and expected to grow, raising concerns about the demands that will be placed on family members and other unpaid caregivers.  . . .  We found that among family and unpaid caregivers to older noninstitutionalized adults, one-third of caregivers, and 41 percent of the hours of help they provide, help people with dementia, who account for about 10 percent of older noninstitutionalized adults.  Among older adults who receive help, the vast majority in both community and residential care settings other than nursing homes rely on family or unpaid caregivers (more than 90 percent and more than 80 percent, respectively), regardless of their dementia status. Caregiving is most intense, however, to older adults with dementia in community settings and from caregivers who are spouses or daughters or who live with the care recipient.” (From the Abstract, p. 1642)

LTC Comment:  You can read the Abstract of this article for free here.  You can subscribe to Health Affairs or purchase only this article here.