This type of insurance is the most difficult type for almost everyone to even talk about let alone buy. Practically everybody will tell me “It won’t happen to me”. However the reality of it is nearly 50% of people reaching the age of 65 will need some sort of care in a skilled nursing facility sometime in their life. This is not saying the nursing home is the final address for that 50% before they die, it means that nearly 50% of all people 65 or older will need some sort of care sometime in their lifetime.
The facts also bear out that the average length of time spent in a care center is going to be for rehabilitation and will be for a period of time that is less than one year. Another fact is Medicare only pays for less than 10% of all skilled nursing homes costs. Who pays the rest you might ask? Personal funds are used up first before Medicaid or Welfare will step in.