Long-Term Care
What is Long-Term Care Insurance?
Long-Term Care Insurance typically pays benefits for covered long-term care services, including services you receive:
In your home
In an assisted living facility
In a nursing home
The purpose of Long-Term Care Insurance is to help protect you against the risk of paying the high cost of long-term care services.
When should I buy my policy?
It's never too early to consider Long-Term Care Insurance. The sooner you begin planning for your long-term care needs, the better. The cost of Long-Term Care Insurance premiums increases with age. So the younger you are when you purchase a policy, the less expensive it will be. The amount you pay in premiums generally is less than what you would pay for long-term care services.
Why do I need coverage?
A Long-Term Care Insurance policy may help you:
Remain independent and receive quality care in your home.
Avoid tasking your family or friends with the responsibility of caring for you.
Keep your savings intact for the things you really want to do.
Seven Reasons People Buy Long-Term Care Insurance
1
I know I'm getting older.
Growing old and needing help are issues everyone faces at some time. You want to maintain your independence as long as possible. You don't want to rely on your kids to take care of you or make decisions on your behalf and you certainly don't want to spend your life savings on home health care, assisted living, or nursing home services.
2
I want to stay at home.
If you're like most people, remaining at home is a top priority. Whether you simply need help with day-to-day activities like shopping and meal preparation, personal services like bathing and dressing, or the services of a visiting nurse, a Long-Term Care Insurance policy may allow you to receive the help you need in the comfort of your own home. In case you ever need a higher level of care someday, Long-Term Care Insurance also may help cover the cost of an assisted living facility or nursing home.
3
I've seen what happens to people who don't have it.
Perhaps you know someone, a friend or family member, who needed the home health care, assisted living, or nursing home services and didn't have a Long-Term Care Insurance policy to help pay the bills. If you're like most people, watching someone you know and love struggle financially and seeing the physical and emotional toll it can take on them and their families is enough to make you say, "I don't want that to happen to me."
4
I don't want my kids to take care of me.
It's comforting to know you have loved ones who care for you, but when it comes to being your caregiver, your family already has enough on their plate. Your spouse may not physically be able to care for you and your children have their own family and work obligations. A Long-Term Care Insurance policy may help ensure you receive the care you need without placing an emotional, physical, and financial burden on your family.
5
I don't want to spend my life savings on long-term care services.
Paying for long-term care services out of your own pocket might deplete a lifetime of savings. If you're relying on Medicare to help, you could be surprised. Medicare generally doesn't pay for long-term care services. Instead, it's designed to help get you back on your feet after an injury or illness. A Long-Term Care Insurance policy may help provide the funds to help pay for care you need, allowing you to spend your life savings the way you want.
6
I want to leave an inheritance for my kids.
You worked hard to accumulate your retirement nest egg and you want to make sure you have something to pass onto your children and grandchildren, but if your plan is to let Medicaid pay your nursing home costs, you need to realize you may have to "spend down" your assets in order to meet state and federal eligibility guidelines. A Long-Term Care Insurance policy may help you preserve your estate for your children and grandchildren.
7
I know it's the smart thing to do.
The concept of Long-Term Care Insurance isn't that different from other types of insurance. A policy provides money to help pay the bills if something happens. After all, you have Homeowners Insurance to protect you in the event of a fire or storm, Automobile Insurance to protect you if you're involved in an accident, and Life Insurance to protect your family if you die too soon. Why not purchase a Long-Term Care Insurance policy to help protect your life savings should you need home health care, assisted living, or nursing home care?
ONE REASON They Don't…
Many people have the perception that Long-Term Care Insurance is more expensive than it really is, and they're surprised to find it's a reasonably priced way to help protect their life savings. So, if you think you can't afford Long-Term Care Insurance, you need to ask yourself if you can afford to pay for the care you may need someday without depleting your retirement saving or having to sell assets, such as your home. If your answer is not, the question becomes, "Can you afford not to have a Long-Term Care Insurance policy?"