Facts About Long Term Care
Long term care insurance planning is a great concern for many people. It impacts the whole family when a long term care need arises. All persons, young and old should be concerned and informed about long term care planning.
Remember, we can’t protect our house when it’s on fire and we can’t insure for long term care when there is already a need.
Wishful Thinking: Long Term Care won’t happen to me, I’ll just die suddenly on a day of my own choosing, after an otherwise healthy, happy and fulfilling life!
Fact: 43% of people sixty-five and older will spend time in a nursing home. The average stay (excluding short stays) is three years.
False Hope: My present Health Insurance or Medicare will pay for my long term care.
Fact: Health Insurance does not pay for typical nursing home care. Medicare payments are very limited and pay for skilled nursing care only, if you can qualify. Medicaid (Welfare) pays long term care for the indigent. Personal savings and whatever other assets or cash that is available pays nearly 40% of all long term care expenses. It is the individual or their family who will pay when long term care is needed.
False Statement: Long Term Care isn’t that expensive.
Fact: Nursing Homes currently average $40,000 or more per year and are expected to double in the next 14 years (based on a 5% inflation factor). Home care can easily cost as much or more.
False Statement: Long Term Care Insurance is too expensive.
Fact: Long Term Care Insurance is very affordable for most people. When purchased at younger ages it is a minimal expense and can cost thousands of dollars less than waiting to buy similar coverage when older, assuming you are still healthy enough to purchase insurance.
Long Term Care Insurance Protection can be designed many ways:
* To cover Nursing Home
* To include Home Health Care
* To provide Benefit Inflation Protection Feature against rising costs of care
Long term care insurance provides . . . . .
….an option from having to depend on the family
….freedom of choice as to where you receive long-term care, less worry and the mechanism by which you can afford your choice of care options.