A recent independent

national survey sponsored by Allianz Life Insurance Company of North America

revealed that middle-income Americans, the largest population segment,

could be hardest hit if they don't plan for the financial impact of long-term

care for themselves or family members.

The survey,

"Allianz Life Report on American Priorities: Long Term Care Snare,"

found that nearly three-fourths (71 percent) of respondents are very or

somewhat concerned about needing long-term care in the future. However,

less than one-fourth of the respondents (21 percent) have purchased long-term

care insurance. This, despite the fact that 68 percent think long-term

care insurance is very or somewhat important to the financial security

of their family.

It's clear

that although people fear the possibility of needing this type of care

and the costs associated with it, they are overwhelmed and would prefer

to look the other way and ignore the financial strains they or their family

could face if care is needed. Those relying on relatives for their care,

must take into consideration the added emotional stress and disruption

of employment and family life.

When survey

respondents were asked what they would do to prepare for the possibility

that they (or their spouse) would need long-term care, common responses

included "nothing," "hope and pray," "wait for

the government to do something," "start saving money,"

and "research information on long-term care needs." This signals

a potentially ominous crisis, given that one out of five Americans over

the age of 50 may need some level of care in the next 12 months, according

to Americans for Long-Term Care Security.

The type and

length of care needed varies and care options carry different price tags,

but, should nursing home care be required, the estimated annual cost of

nursing home care is $55,000, according to the AARP.

Put the two

together, and it could spell serious hardships for many families.

Middle income

at risk

Despite their

failure to prepare for the possibility of needing long-term care, most

survey respondents understand that they cannot count on government assistance

to pay for it. Sixty percent realize that Medicare is not likely to cover

the total costs of their care, even if they can't afford to insure themselves.

One-fourth believes Medicare will pay if they can't. According to the

National Academy of Elder Law Attorneys, more than half of the entire

population will need long-term care at some point in their life, (for

some only a short period of time).

Government

programs provide financial assistance, primarily to people with few assets

and income, for long-term care. This means the vast majority of the population

the middle income will be responsible for paying for long-term care themselves.

They are too well off to qualify for Medicaid assistance, yet paying for

it out-of-pocket could mean a severe set