Americans underestimate the risk of long-term care expenses to their retirement savings, according to Lincoln Financial Group research | National Business

Americans underestimate the risk of long-term care expenses to their retirement savings, according to Lincoln Financial Group research | National Business

RADNOR, Pa.–(BUSINESS WIRE)–Nov 7, 2023–What poses the largest risk to a comfortable retirement? It depends on who you ask.In newly released research by Lincoln Financial Group i, nearly six in 10 (59%) consumers believe inflation is the biggest threat to their retirement savings, while just over half (51%) think it’s the economy. Meanwhile, half of financial advisors (50%) say consumers should be more focused on how the need for long-term care could impact retirement savings.
This disconnect is one of many topics worth discussing as the insurance industry recognizes Long-Term Care Awareness Month in November. Planning and investing in a long-term care solution can prepare you for the impacts of an unexpected health event.“With a record-setting wave of Americans reaching retirement age next year, the time is now – more than ever – for consumers to factor long-term care into their retirement plans,” said Mike Hamilton, vice president, MoneyGuard ii Business Management at Lincoln Financial Group. “A long-term care solution can help cover expenses and add a layer of financial security to your retirement savings.”Long-term care refers to a range of services and support designed to meet your health or personal care needs, especially relating to Activities of Daily Living (ADL) like bathing, dressing or eating. This can come in the form of expenses for in-home care, assisted living facilities, nursing homes or other services. Currently, the national average for home care or assisted living tops $4,000 a month; the average cost of care reaches nearly $9,000 a month when considering skilled nursing homes. So, without proper planning, a long-term care event can take a significant financial toll.As it turns out, the importance of long-term care planning isn’t lost on consumers. According to Lincoln’s research, Americans overwhelmingly agree (96%) that it is important to plan for long-term care; however, only 19% have actually started planning for it.“It’s easy to picture the fun parts of retirement, like relaxing on the beach, but consumers should also be considering the expenses they might face as they grow older,” said Jared Nepa, senior vice president, head of Life and MoneyGuard Distribution. “You work hard to save what you need for retirement, so it’s important to protect yourself, your loved ones and your hard-earned savings from the unexpected.”To learn more about the benefits of long-term care planning, visit Lincoln’s “Learn the basics” resource here. And for a deeper look at consumer and advisor sentiments relating to long-term care, view the Lincoln Financial Group 2023 LTC Marketing and Thought Leadership Research, Finding’s from Survey of Advisors and Consumers, here.About Lincoln Financial GroupLincoln Financial Group is the marketing name for Lincoln National Corporation and its affiliates including The Lincoln National Life Insurance Company, Fort Wayne, IN, and, in New York, Lincoln Life & Annuity Company of New York, Syracuse, NY, and broker-dealer affiliate Lincoln Financial Distributors, Inc., Radnor, PA. Affiliates are separately responsible for their own financial and contractual obligations.Lincoln Financial Group provides advice and solutions that help people take charge of their financial lives with confidence and optimism. As of December 31, 2022, approximately 16 million customers trust our retirement, insurance and wealth protection expertise to help address their lifestyle, savings and income goals, and guard against long-term care expenses. Headquartered in Radnor, Pennsylvania, Lincoln Financial Group is the marketing name for Lincoln National Corporation (NYSE:LNC) and its affiliates. The company had $299.2 billion in end-of-period account balances, net of reinsurance as of June 30, 2023. Lincoln Financial Group is a committed corporate citizen included on major sustainability indices including the Dow Jones Sustainability Index North America and ranks among Newsweek’s Most Responsible Companies. Dedicated to diversity, equity and inclusion, we are included on transparency benchmarking tools such as the Corporate Equality Index, the Disability Equality Index and the Bloomberg Gender-Equality Index. Committed to providing our employees with flexible work arrangements, we were named to FlexJobs’ list of the Top 100 Companies to Watch for Remote Jobs in 2022. With a long and rich legacy of acting ethically, telling the truth and speaking up for what is right, Lincoln was recognized as one of Ethisphere’s 2023 World’s Most Ethical Companies®. We create opportunities for early career talent through our intern development program, which ranks among WayUp and Yello’s annual list of Top 100 Internship Programs. Learn more at: www.LincolnFinancial.com. Follow us on Facebook, Twitter, LinkedIn, and Instagram. Sign up for email alerts at http://newsroom.lfg.com.

i Versta Research, a third-party research firm, was commissioned by Lincoln Financial Group to design and conduct two surveys, one among producing financial professionals and one among consumers. The goal was to explore current long-term care attitudes, experiences, and planning.ii Lincoln MoneyGuard® solutions are universal life and variable universal life insurance policies with riders that accelerate the specified amount of death benefit to pay for covered long-term care expenses.LCN-6022221-101323View source version on businesswire.com:https://www.businesswire.com/news/home/20231107065271/en/CONTACT: Patrick [email protected]: UNITED STATES NORTH AMERICA PENNSYLVANIAINDUSTRY KEYWORD: INSURANCE FINANCE SENIORS CONSULTING BANKING PROFESSIONAL SERVICES HEALTH CONSUMER GENERAL HEALTHSOURCE: Lincoln Financial GroupCopyright Business Wire 2023.PUB: 11/07/2023 10:30 AM/DISC: 11/07/2023 10:30 AMhttp://www.businesswire.com/news/home/20231107065271/en

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