Baby Boomers Lack Plans For Health Care in Later Years

About half of Americans aged 45 to 70 lack a financial plan to protect themselves against outliving their assets and pay for the rising cost of health care, according to a new survey by the Society of American Actuaries.

About one-third of those surveyed worry about running out of money but only about one in five plans to purchase an annuity or some other form of guaranteed, lifetime income.

Nearly three quarters (71 percent) of those surveyed said they plan to claim Social Security before the age of 70.

“With the challenges in the housing and financial markets over the past few years, coupled with the fact that people are living longer, many baby boomers are finding themselves unprepared to maintain their lifestyle in retirement,” said Anna Rappaport, president of Anna Rappaport Consulting.

Also of note: Only 19 percent of those surveyed plan to insure the extra costs of disability by purchasing long-term care insurance.