Long term care planning is about having the rightmindset rather than hitting a specific age,according to panelists participating in a recent webcast sponsoredby Lincoln FinancialGroup.

According to the Department of Health and Human Services, atleast 70 percent of people over age 65 will need long term careservices at some point in their lives. [See also Report reveals income, race LTCI gap]

Social programs like Medicare and Medicaid have traditionallyprovided resources for paying for LTC, but according to SteveMoses, president of The Center for Long-Term Care Reform, it's notgoing to be reliable in the future.

"The social safety net is fraying," Moses said. "It won't bethere for as many of the middle class and affluent people as ithelped in the past."

Moses says there's a 20 percent chance people over age 65 willneed long-term care for five years or more. "You can't buy fireinsurance when your house is in flames," he remarked."Likewise, you can't buy long-term care insurance when you alreadyhave Alzheimer's Disease. Savvy consumers need to look at long-termcare through the windshield, not through the rear view mirror tounderstand the future risks and plan accordingly."

Moses emphasizes it's time for consumers to think ahead andprepare for how to pay for long term care privately - throughsavings, home equity or insurance.

[See 25 states report double-digit growth of LTCI policyholders]

But to have an effective conversation with someone about how toplan for long term care needs requires that person to be in a rightmindset.

“In brief, starting to plan financially for long-term care, ismore about mindset than a specific age,” said Andrew Bucklee, headof Lincoln MoneyGuard Solutions Distribution. “But, once a personstarts hitting retirement age the risk of long-term care becomesmuch more relevant. Unfortunately, at this point it often is toolate.”

According to panelist Bill Moss, director of Home and CommunityServices for Washington State, Washington has seensteady caseload growth over the past decade and “we expect to seethat caseload growth increase dramatically as the boomer populationbegins to reach a point where they will be in need of long-termcare services.”

Moss says future steps to accomodate growing case loads includeproviding information and counseling, empowering clients tounderstand responsibility, supporting shared responsibility andself-management, and developing helpful programs.

Suzanne Schmitt, senior consultant for LincolnInsights, offered insight as to why talking to clients about longterm care planning might be difficult. The reasons include theindepencence felt at mid-life, and a reluctance to accept thatindepencence will be challenged by needs for care. It's an"over-confidence effect," Schmitt says, a belief by an individualthat they can beat the overwhelming odds that they'll eventuallyneed care as they age.

It's all part of behavioral economics, according to Schmitt."Through extensive research conducted by Lincoln Financial Group,our findings have concluded that to many consumers buying along-term care plan gave them a sense of helping to extend theirability to remain independent," she said. “Many felt having theconversation about long term care and putting a plan in placehelped them to ensure greater control over when, where and how theywanted to receive care, should they need it.”

“The good news is that when you do pay privately you command redcarpet access to top quality care in your own home or the very bestcare facilities,” Moses added. “That cannot be assured if you relyon Medicaid, which often pays nursing homes and other long-termcare providers less than the cost of providing the care,” hesaid.

[See 5 most affordable states for private long term care]

According to Bucklee, it's critical to ensure Americans areproperly educated and that they understand the risks they face, thesense of urgency needed to properly prepare for possible long-termcare issues in the future, and the funding options available formitigating those risks. “Once people are in the right frame ofmind consumers should discuss long-term care issues with theirloved ones and with their financial advisors.”

In addition, “we are expecting significant growth in the65-plus population over the next decade and what can only becategorized as alarming growth in the following decade. Over thenext two decades our caseloads could more than double.Unfortunately, I am not aware of any revenue forecast that ispredicting anywhere near that kind of growth. Consequently,Washington and other States will need to modify their programs in away that maximizes the use of informal support from thecommunities, family and friends, and we will also be developingprograms that assist individuals in taking charge of their futureand responsibility for funding their long-term care needs.”