Your Clients Want to Talk About Long-Term Care. Are You Bringing It Up?
That gap isn’t because clients find the topic too uncomfortable. It’s not because they think they’ll never need care. According to Lincoln Financial Group’s 2023 long-term care research — a survey of both consumers and financial professionals — the most common reason clients aren’t talking about long-term care is simple: their advisor hasn’t brought it up.
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92% of clients expect their advisor to raise LTC planning |
45% of clients have actually had that conversation |
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1 in 3 Americans mistakenly believe Medicare covers LTC |
2x the portfolio withdrawal rate when uninsured clients need LTC |
The Awareness Is There. The Planning Isn’t.
The pandemic shifted something. Consumers are more aware than ever that long-term care is a real risk — not a distant hypothetical. But awareness hasn’t translated into action, because most clients don’t know where to start, and they’re waiting for their advisor to lead.
Clients are also carrying a costly misconception: one in three Americans still believes Medicare will cover their long-term care expenses. It won’t. That misunderstanding leaves families financially exposed at exactly the moment they can least afford it.
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When uninsured clients have a long-term care event, it can more than double the withdrawal rate from their investment portfolio. Most clients don’t see this coming. |
The Conversation Clients Actually Want
Interestingly, clients don’t find the topic emotionally difficult when talking to their financial professional — they find it difficult when talking to family. That means advisors have a real opening. Clients want the guidance. They’re not avoiding it. They’re waiting.
And when advisors do have the conversation, something else happens: the relationship deepens. According to the same research, 99% of financial professionals who’ve discussed LTC planning say those conversations strengthen client relationships. And female clients who’ve had the conversation with their advisor are 1.5x more likely to refer that advisor to others.
Four Things Advisors Can Do Right Now
• Bring it up first — don’t wait for the client to ask. They won’t.
• Include family members where appropriate — 92% of adult children say having a parent’s LTC plan would give them more peace of mind
• Connect LTC to retirement planning — clients underestimate how much an LTC event can damage a retirement portfolio
• Explore newer, more affordable funding solutions — many clients assume LTC insurance is out of reach; products with lower premiums spread over longer periods are changing that
As a CLTC®-certified professional, you’re uniquely equipped to lead these conversations with confidence — and to help clients understand both the risk and the solutions available to address it.