Advisers have an opportunity to help people plan for later life care amid the current pressures on the NHS and social care systems and delayed social care reform, according to Just Group, who see this area of the market growing in years to come.
The retirement specialist’s latest Care Report 2022 showed just 7% of over-45s who have made care arrangements for themselves or a loved one used a regulated financial adviser in the process.
Yet, 61% of over-45s said that they would arrange to meet an adviser if they were referred, with just 11% stating that they would choose not to speak to an adviser. In addition, half said that if they approached their local authority or council for information about care, they would expect a referral to an adviser as standard.
Stephen Lowe, group communications director at Just Group, said: ““Financial advisers are not currently front of mind when people start looking for support and guidance for their later-life care planning but when prompted most people wanted to meet with an adviser to discuss their options.
“Advisers play a significant role in getting people to think about the finances around going into a residential care home given the difficulties many would face navigating the system on their own.”
The report also found that 58% of over-45s who have arranged care said that they found it difficult to find the right information and 74% said that they found the care system very complex.
Lowe said advisers can offer people an idea of the fees involved in later-life care and the options available.
“This means people won’t face a sudden shock at the point-of-need and will have a plan in place to deal with the financial and logistical practicalities as well as helping to manage the emotional stress,” explained Lowe.
“Care is in the spotlight again because planned reforms have been delayed and the social care levy scrapped, leaving a growing number of people grappling with the current, discredited system. Advisers who have developed the required skills and qualifications are in a strong position to become the ‘go to’ experts in what is likely to be a growing business area in the years to come,” Lowe added.
