Preserving Charitable Legacies Through Long-Term Care Planning
For people who are motivated to leave the world better than they found it, careful planning often extends far beyond their own lifetime. Many successful professionals and philanthropically minded individuals work tirelessly to build wealth not just for their families, but also with the hope of supporting the charitable causes closest to their hearts. However, one factor that can undo even the best intentions that too many people overlook: the high cost of long-term care.
The Overlooked Risk
Nearly seven in ten adults over the age of 65 will need some form of long-term care.1 That might mean help with daily activities at home, time in an assisted living facility, or years in a nursing home. These services, while vital to quality of life, come with a steep price tag. The national median annual cost for a private room in a nursing home now exceeds $125,000.2
Without protection, those costs are paid directly out of pocket. That means liquidating investments, drawing down retirement accounts, or selling other assets just to maintain proper care. For those who have devoted themselves to building wealth with the intention of passing it to heirs or to charity, the impact of long-term care costs can be devastating.
Protecting Families
The benefits extend beyond preserving finances for charity. Families are often caught off guard by the emotional and logistical burden of caring for an aging parent or relative. Without insurance, children or spouses may feel pressured to step in, which strains time, finances, and energy. A long-term care policy not only preserves wealth but also relieves loved ones of the heavy responsibility of providing care beyond their skillset. This allows them to focus on what matters most: time together.
Cost Versus Value
Some may hesitate at the price of premiums, but the alternative is almost always more expensive. Paying for even two years of nursing home care out of pocket can far exceed the total premiums of a long-term care policy purchased years earlier. Others assume government programs will provide for them. Medicare, however, only covers limited short-term skilled care3, and Medicaid requires individuals to spend down most of their assets before assistance becomes available4—an outcome that can defeat the purpose of leaving a charitable legacy.
Who Benefits Most
Long-term care insurance is not for everyone. Those with very limited means may eventually rely on Medicaid, while those with extraordinary wealth may be able to self-fund their long-term care without facing these pressures. But for the wide middle ground— those who have worked hard, accumulated significant assets, and want to ensure their resources pass on to family or charity—it can be the critical piece that ensures retirement, estate, and charitable planning.
Coordinating with Philanthropy
Integrating long-term care insurance into a larger plan is straightforward. A financial advisor can help tailor coverage to meet individual needs and coordinate policies with wills, trusts, or other charitable giving vehicles. In this way, coverage is not just a safety net but an active feature in a philanthropically oriented estate plan.
The Heart of the Decision
At its core, the decision to purchase long-term care insurance comes down to values. Those who are motivated to ensure that their life’s work has impact beyond themselves understand the importance of protecting their plans from disruption. By addressing the very real possibility of needing care in the future, they guarantee that their generosity will not be lost to circumstance.
Long-term care insurance is not just a financial product. It is a promise to family, community, and to the causes that define their legacy. It ensures that when the final chapter is written, their resources go where their heart has always intended: building a stronger future for others.
Sources
- How Much Care Will You Need?, ACL, U.S. Dep’t of Health & Human Servs., https://acl.gov/ltc/basicneeds/how-much-care-will-you-need (last modified Feb. 18, 2020).
- Cost of Long Term Care by State: Cost of Care Report, CareScout, https://www.carescout.com/cost-of-care (last visited Oct. 9, 2025).
- Getting Started: Medicare & Skilled Nursing Facility Care, U.S. Centers for Medicare & Medicaid Servs. (May 2024), https://www.medicare.gov/publications/11359-getting-started-medicare-and-skilled-nursing-facilitycare.pdf.
- Eligibility Policy, Medicaid, U.S. Centers for Medicare & Medicaid Servs., https://www.medicaid.gov/medicaid/eligibility-policy (last visited Oct. 9, 2025).
About the Author
Jennifer Lasky, Esq. & Liam McLean, Law Clerk
MWC Legal Group
Attorney Jennifer Lasky is a Partner and Shareholder at MWC Legal Group and concentrates her practice in the areas of lifetime and estate planning, which includes wills, trusts, special needs trusts, powers of attorney, probate, and trust administration. Jennifer also assists clients with elder law issues including Title19/Medicaid planning and guardianship matters.
Jennifer graduated from the University of Michigan in Ann Arbor, Michigan with a Bachelor of Arts in Public Policy and a policy focus in Education. She obtained her Juris Doctor from the University of Tennessee College of Law, in Knoxville, Tennessee. Jennifer is a member of the National Academy of Elder Law Attorneys (NAELA) and the Greater Milwaukee Foundation’s Herbert J. Mueller Society for planned giving advisors. She also serves on the board of directors for the Old World Wisconsin Museum Foundation and Wispact, Inc., a private nonprofit organization that administers pooled and community Special Needs Trusts for people with disabilities.
