FROM OUR PERSPECTIVE:

Our Canadian Medicare system….

Perhaps we have come to take it for granted. Perhaps we have come to expect too much from it. Certainly, people seem not to understand its shortcomings when it comes to funding long-term care. It has always been said that Canadians value Medicare above all else.

If ever Canadians needed to pay close and careful attention to health care funding, the time is now. And if ever we needed to hold our political representatives accountable, it is on the issue of federal-provincial transfers for health care.

In late December, our federal government announced (without opportunity for discussion), that the six per cent increases in health care cost transfers would continue over the next five years, at which time increases would be tied to economic growth with a floor of three per cent. The good news for the provinces is that they can budget through 2017. The concern for Canadians is two-fold: How are the provinces preparing for the uncertainty following 2017? After all, in Ontario we face a $16 billion deficit in health spending, persistent unemployment, possible credit downgrades, an eroded economic base and an aging population.

Secondly, what steps are being taken now to ensure that health care spending is efficient, fair and cognizant of demographic need.

Canadians pay the bill for Medicare as taxpayers. With health care currently consuming about 42 percent of program spending, we must be fully informed of how these dollars are spent. The answer, in our opinion, is not simply throwing more money at an ineffective and dysfunctional system. Although physicians, hospitals and, in some cases, the media have encouraged this approach, it simply makes poor economic sense.

The fact is that we must rise to the challenge of finding innovative methods by which to get more mileage from the money we spend – more bang for the buck. The system must be re-integrated by people who understand it, not necessarily those who have the most opportunity to gain financially from it. The areas that must be looked at are home care, senior care, community care and health promotion. Sacred cows must be slaughtered, old ways must make way for the new and vested interests forced to participate in the process.

MyDignity urges you all to action. Call your provincial and federal representatives, ask them how they will contribute to the solution. Remind them that their constituents deserve to be heard, kept informed of all developments and given every opportunity to participate in developing strategies aimed at viable and effective solutions.
 

YOU ASKED ……..

This column is a new feature of the MyDignity newsletter. In each edition, we will feature a question that you have submitted and our response.
 

The following question and answer was featured in our recent radio broadcast series on 740.

“Why is it to my advantage to have long-term care insurance, rather than self-insuring?”

Every individual requires a strategy to address the very real possibility of long-term care expenses. Statistics Canada informs us that by age 75, we have a five in ten chance of requiring long-term care, whether in home or facility. Yet many Canadians ignore long-term planning at their peril.

If you choose to finance your own eldercare through investment, savings, or home equity, there is a substantial danger that you will come up short. After all, none of us has a crystal ball. Who knows how much care he or she may need and for how long?

If you can build a dedicated long-term care investment account and combine it with home equity, possibly you might escape the need for long-term care insurance. Sadly, this won’t happen for most Canadians. Many of us lack the necessary discipline to put away funds for our future needs. Somehow life interferes in even the best-intentioned plan; there are always unforeseen expenses, emergencies and competing demands for limited funds. Investments offer little guarantee over the long haul and economic forecasts often go awry. Assets are quickly used up when care is required and, once gone, what then? Long-term care costs can devastate a family’s financial well-being, if not appropriately planned for.

Given the realities of today, long-term care coverage is a logical addition to your overall financial plan and risk protection program. Long-term care insurance allows you to maintain independence and provides peace of mind. Budgeting for monthly premiums is certainly easier than attempting to afford the many expenses of eldercare, should the need arise.
 

DID YOU KNOW?

According to the latest TD Waterhouse Women Investor Poll, women and men may agree on how to define financial success, but not necessarily on how to achieve it.

The survey of Canadians aged 45 to 64 found that saving enough for a comfortable retirement is the biggest measure of financial success for both men and women. However, while women were more likely to see having an emergency find as a measure of financial success, men were more likely to prioritize paying off credit cards in full and contributing to an RRSP. Interestingly, only 20% of those surveyed defined financial success as being able to afford luxuries such as a summer home or expensive vehicle.
 

COFFEE AND CANCER

Coffee has been recognized as a beneficial weapon against several types of cancer.

• Heavy coffee drinkers run a 20 to 50% lower risk of developing some common types of breast cancer after menopause
• Average intake of coffee (3 to 6 cups daily) repels most types of prostate cancer
• Coffee intake can actually shut down the growth of basal cell carcinoma
• Large coffee drinkers are 25% less likely to develop endometrial cancer

The protective compound would appear to be caffeine which is available through other sources for those who do not drink coffee.
 

COMING UP…..

Our next Just the Beginning workshop series will begin in April. This program, developed for those contemplating or beginning retirement, is designed to assist individuals to make a smooth transition into a healthy and successful retirement. Please call Joan at 416-410-4155 for further details.
 

Remember, at MyDignity, Inc., we are always here to help promote aging as a graceful journey and to assist you with your questions and concerns.