A new study which is conducted by American Council of Life Insurers (ACLI) demonstrates that the baby boomers should keep an eye on the quite real possibility that they might need long-term cares. The reason is simple: The continuous increasing long-term care costs.

“Medicaid or Long-Term Care Insurance: Who would Pay for Long-Term Care of Baby Boomers ?” sounds the alert on a national potential long-term care crisis. Moreover, it is a action calling for people to contain long-term care into the planning of their retirement , said Frank Keating (ACLI President & CEO) .

The study indicates that staying in one nursing home per year average cost about $70,000 for one private room or above $61,000 for one semi-private room. Till the year of 2030, the same staying in one semi-private room may spend about $190,000, more than double over next future 20 years. Most of the Americans could not save enough money to cover these sorts of high costs by themselves.

“Americans are having lives longer than ever before. It is a great news, however it bring some issues. One of them is that plenty of future retirees should face the astonished costs of long-term care.” Keating said.

The issue becomes particular interest for women since they live longer than men. A 65 years old woman possess a 50 percent possibility of needing a nursing home care within her lifetime scope-a cost which may potentially erase her retirement savings.

What could be done? Life insurance company recommends for the long-term care insurance.

It is a important component of a solid financial plan for retiree. It helps individuals keep independence in the retirement procession once they need long-term care services. The policy holders of Long-term care do not need rely on their family or the government programs to pay for cares. More importantly, the products have evolved over years. Now, they offer a wide scope of services in various settings. Some of the policies may include reimbursement for medical equipment, respite care and home modification.

“The Long-term care insurance offers the retirement security to thousands of Americans. However more people need the protections it provides. Getting long-term care insurance as a part of the retirement plan, Americans may be better prepared to protect life-long savings of theirs and keep the standard of their living,” Keating said.