According to the Ministry of Health and Welfare on the 27th, the dementia prevalence rate among people 65 and older is about 9.25%, and it exceeds 20% among those 85 and older.
Dementia is increasingly viewed not only as a medical condition but as a social risk that can affect nearly every part of life for patients and their families. As a result, there is a growing recognition that dementia-related assets should be managed systematically to help pay for care and stabilize household finances.
Specialists point to wider use of trusts as a key solution. They say the scope of assets eligible for trusts should be expanded, and standards and sales rules for managed trusts should be revised to ensure stable oversight of assets held by older adults with dementia.
While such assets can include deposits, real estate, insurance and pensions, the range of property that can be placed in trust remains limited. Critics say public and private pensions and insurance claim rights — major sources of retirement income and care costs — should also be included.
Access is also limited. Because dementia trusts are classified as financial investment products, enrollment procedures can be complex, and there is a lack of sales infrastructure. A uniform fee structure is also cited as an area for improvement.
The industry also points to a structure centered on wealthy clients and narrow sales channels. Some have proposed easing qualification requirements for investment solicitation agents so insurance agents can recommend dementia trusts. Supporters say agents, who have frequent contact with older adults, could also help expand coverage by linking trusts with dementia insurance.
A life insurance industry official said, “If efforts to expand dementia insurance and improve the trust system move forward together, it will be possible to manage the assets of older adults with dementia more safely and systematically.”
* This article has been translated by AI.
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