What Is Long Term Care Insurance?
You have probably seen many commercials urging you to purchase long term care insurance, but you may be unsure as to what this type of insurance actually is, and how it can help you. Long-term care insurance helps you pay for long term care services that most insurance policies do not cover. These types of services are typically very expensive when paid for out of pocket and can include in-home health care, adult day care services, assisted living services, and other related expenses.
If you are considering purchasing a long term care insurance policy, you should do so in middle age, since this will increase your chances of both being eligible for coverage, and for qualifying for a lower premium rate.
Long term care insurance can be expensive, and is not a viable option for everyone. It is something that everyone should consider, however. The right policy can help you reduce your independence on your family members, as well as decrease their financial and emotional strain as you age, and can help you retain control of your finances and control of how and where you receive long term care.
Consider the amount of coverage that you think that you will need in the future. There are policies that pay only for home care, or only nursing home care, as well as policies that cover a mixture of both types of care, and some that pay for a friend or family member to care for you in your own home. The daily benefit amount is also an important consideration, because if the cost of your care ends up being more than your daily or monthly benefit, you will be required to pay for the difference out of pocket. Be sure to research your options thoroughly and speak with your broker before deciding on any type of insurance coverage.
It involves the assistance or supervision you may need when you are not able to do some of the basic “activities of daily living” (ADLs) like bathing, dressing or moving from a bed to a chair. You might need assistance with ADLs if you suffer from an injury like a broken hip, an illness, a stroke or from advanced age and frailty. Long-term care insurance is not life insurance, disability insurance, or health insurance. Instead, LTC includes a range of nursing, social, and rehabilitative services for people who need ongoing assistance due to a chronic illness or disability
