Simple steps that could save you thousands in later life revealed

Crucially, the guide does not talk about financial services products, but about the kind of conversations people can have throughout their lives to dramatically improve their wellbeing, both as carers and people needing care.

The guide, produced by the CII’s Insuring Future’s initiative, highlights conversations people can have during their working lives as well as during retirement to put them in a stronger position if they can no longer look after their affairs on their own.

It goes into detail about:

• Who to talk to and when - encouraging the right conversations at each stage of life to prepare for later life;
• Starting the conversation - some suggestions on how those conversations could be started; and
• Hints, tips and tools - how to plan more effectively. 

Research conducted by the CII with 2,000 consumers in December 2020 has shown people who discuss care plans with their wider family find huge reassurance from talking over the issues and coming up with a plan.

Even simple steps, like bringing their financial information together so that someone they trust has access to it in an emergency, gives huge peace of mind.

Of those who had already discussed care issues with their family, 78 per cent said they had benefitted from the process.

This was greater than the number who reported a benefit from adapting their home (69 per cent) or set up savings and investments (59 per cent).

However, it is often difficult to start these conversations, and around three quarters of families never discuss how they will fund later life care.

The reasons they give for not talking about these issues include:

“It’s too difficult”

“I don’t know how to start the conversation”

“It’s a long way off”

“I’m still formulating my plans.”

The report, unveiled at the CII’s Shaping the future of insurance taking place today (24 June), gives guidance on:

• Health, legal and financial services professionals that people can go to, and how to engage with them.
• Conversations that people can have at work about care options.
• How to start discussions with family members, and the kind of issues to listen out for.
• Specific steps for preparing for care, such as setting up a power of attorney.

Sian Fisher, CEO of the Chartered Insurance Institute, said: “Throughout our lives, we have conversations and make decisions that may seem trivial at the time, but they can save us tens of thousands of pounds, or prevent huge amounts of stress for both ourselves and the most important people in our lives.

“Often, the actions that make the biggest difference are not expensive, but just involve having the right conversation at the right time. For example, it can be as simple as taking time to think about the things other people need to know, if you are no longer able to tell them.

“This guide aims to help people make those small, simple steps to help prepare for the risks in later life.”

Click here (https://adobe.ly/3iIqmXo) to read the guide.