5 Longevity Trends Affecting The Need for Long-Term Care Insurance

by Danielle Andrus @ Senior Market Advisor

Americans are living longer, but how will that extended lifespan affect our plans for retirement? 

By 2050, about 20% of Americans will be 65 or older, U.S. News and World Report writes - that’s about 90 million people. Of those, 11% will be 75 or older, and 9% will be between 65 and 74. The magazine highlights some trends that will shape seniors' retirements.

1. Financial protection (or the lack thereof).

The poverty rate among seniors is about 10% – not bad compared to the national poverty rate of 13.2% – but an additional 25% of seniors are near the poverty line, according to U.S. News.

“When the recession's financial impact is clearer in a year or two, the picture may get worse, because of rising healthcare costs and the absence of cost-of-living adjustments (COLA) in Social Security benefits,” the magazine writes.

2. A decrease in depression. 

Seniors are less likely to be depressed but the 40-59-year-old group is especially at risk. Over 7% of people in this age group report being depressed.

3. An increase in chronic health problems. 

Not much of a surprise here, but the magazine points to data from 2007 which shows that the percentage of people over 65 who said a chronic condition limited their activities was more than double the percentage of the 18-64 set. And, as chronic conditions increase, so too will the cost of health care. U.S. News cites one survey that shows people over 65 paid an average 15% of their health care expenses out-of-pocket in 2006. Those with private health insurance paid even more; 21%of health care expenses were paid out-of-pocket, according to the magazine.

4. Alzheimer’s will become the main cause of death. 

Alzheimer’s was responsible for only 4% of deaths in 2006, but it’s expected to take over as the leading cause of death, the magazine writes. A study by the Alzheimer’s Association found the number of deaths attributed to the disease increased over 46% between 2000 and 2006. In contrast, heart disease deaths decreased over 11% in the same time period. According to the Association, people 60 or over with Alzheimer’s live an average of 4 to 6 years after their diagnosis.


5. Fitness will fall as stress and weight increase.  

Women suffer higher rates of hypertension and high cholesterol, according to data cited by U.S. News. About 65% of senior men suffer hypertension, compared with between 70 percent and 80% of women. Nearly twice as many women suffer high cholesterol than men – 19-24% compared with 10% – and about 33% of seniors are clinically obese, the magazine writes.