As life expectancy increases, research by GE Life suggests that pensioners have not planned for the costs of Long Term Care and the effect it could have on their estate.
Many pensioners or people who are about to retire say they would rely on the State or families to help with the costs.
Our view
The costs of Long Term Care are vastly underestimated by the general public. Costs of up to £500 per week are common. The State will only pay if assets are under a certain value, typically around £20,000.
For people that own their own homes, the £20,000 will be hugely exceeded, meaning that all care will have to be paid for by the individual. Often this results in people selling the family home to meet the costs.
There are many ways to plan for the costs of care, even if you or someone you know is already receiving care.