Penny Wise: Americans Willing to Swap Cup of Morning Joe for Long Term Care Coverage, According to Genworth

RICHMOND, Va., Sept. 24, 2014 /PRNewswire/ -- According to new survey results released today by Genworth (NYSE: GNW), nearly three-quarters of Americans (74 percent) report that they would be willing to give up a daily coffee run to secure long term care coverage. On average, Americans who purchase one latte a day spend $130¹ per month getting their daily java fix – that's $1,560 a year, enough to purchase meaningful long term care coverage.   

The new survey, conducted with J&K Solutions, asked more than 1,200 adults in the United States about their financial and aging planning, as well as their appetite for planning and saving for their eventual long term care needs.  The survey was conducted as part of an ongoing research initiative led by the National Advisory Center for Long Term Care Information (NACLTCI), sponsored by Genworth, and will be accessible on its online resource and website, www.longtermcareinsurance.org.

"One of our main goals for the NACLTCI website is putting into perspective how attainable long term care coverage can be from a cost perspective and giving consumers the resources they need to figure out which options work best for them and their families," said Pam Nelson, Genworth vice president of consumer insights.

"The good news for the nearly three-quarters of Americans who are willing to make some concessions to ensure they are properly prepared for long term care is that there are options for  funding long term care," Nelson said.  "We understand that insurance may not be the right answer for everyone.  What's most important is simply having a plan, our site helps consumers take that first step."

Many Underestimate the Need, Have No Plan
Genworth found that 70 percent of respondents underestimate the need for long term care in America, unaware that as many as 70 percent of American adults over the age of 65 will require some form of long term care during their lifetime.  Just 19 percent of respondents were aware of the correct number.

While 11 percent of survey respondents said they already have long term care insurance, Genworth found that just 15 percent of those who don't currently have or plan to purchase coverage in the next five years have an alternate plan in place.

Few Have Begun to Prepare, But Would Like To Learn More 
Further, many respondents indicated that they haven't started to plan, or don't know how to begin. Genworth found that 30 percent of Americans said that they haven't thought about planning, or don't want to begin thinking about it, while 14 percent said that they don't know where to begin or don't have enough information. Meanwhile, eight percent of respondents indicated that they want to plan for their long term care needs, but have been putting it off.

Genworth also found that there is a clear need for more information about how to plan for long term care and the importance of starting to plan early. While 16 percent of Americans know they need long term care insurance and plan to purchase a policy within the next five years, the nearly 30 percent who have not yet thought about purchasing long term care insurance said they would like to learn more about it.

NACLTCI was created just for this purpose. The site provides consumers with an easy-to-use "one-stop-shop" to find everything from basic information about how to begin planning to more detailed information, such as average care costs per state.  Genworth also provides a host of tools and other resources to help Americans properly plan for their financial futures, including:

• Genworth's Let's Talk resources offer tips for initiating conversations about retirement and planning for the future with loved ones
• Genworth's Facebook page  offers tips, polls and discussions to help you keep all types of financial promises

1.     http://online.wsj.com/news/articles/SB10001424127887324048904578319783080709860

About Genworth Financial

Genworth Financial, Inc. (NYSE: GNW) is a leading Fortune 500 insurance holding company committed to helping families become more financially secure, self-reliant and prepared for the future. Genworth has leadership positions in long term care insurance and mortgage insurance and competitive offerings in life insurance and fixed annuities that assist consumers in solving their insurance, retirement and home ownership needs.

Genworth operates through three divisions: U.S. Life Insurance, which includes life insurance, long term care insurance and fixed annuities; Global Mortgage Insurance, containing U.S. Mortgage Insurance and International Mortgage Insurance segments; and the Corporate and Other division, which includes the International Protection and Runoff segments. Products and services are offered through financial intermediaries, advisors, independent distributors and sales specialists. Genworth, headquartered in Richmond, Virginia, traces its roots back to 1871 and became a public company in 2004. For more information, visit genworth.com. From time to time, Genworth releases important information via postings on its corporate website. Accordingly, investors and other interested parties are encouraged to enroll to receive automatic email alerts and Really Simple Syndication (RSS) feeds regarding new postings. Enrollment information is found under the "Investors" section of genworth.com. From time to time, Genworth's publicly traded subsidiaries, Genworth MI Canada Inc. and Genworth Mortgage Insurance Australia Limited separately release financial and other information about their operations. This information can be found at http://www.genworth.com.au and http://genworth.ca.

SOURCE Genworth