Long-Term-Care Insurance (LTC)
LONG-TERM CARE
INSURANCE
Long-term care is designed to help individuals pay for care once they have lost, or are losing, the ability to care for themselves.
Many people believe that Medicare will cover these costs, but the unfortunate truth is that it will not. It is important to have a plan.
Is there a need for Long-term Care Insurance?
According to the US Department of Health and Human Services, 70% of people age 65 and older will need some form of long-term care in the next few years and over 40% of individuals receiving LTC benefits are under 65 years old. In 2018, the average annual cost of a nursing home with a semi-private room was $88,348; an assisted Living Facility for the same year was $46,350. Genworth Cost of Care Survey 2018, conducted by CareScout®, June 2018
What is Long-Term-Care Insurance?
LTC is designed to help individuals pay for care once the have lost or are losing the ability to care for themselves. Many people believe that Medicare will cover these costs, but the unfortunate truth is that it will not. The elderly are not the only ones affected. Over 40% of individuals receiving LTC benefits are under 65 years old. It is important to have a plan.
How does Long-Term-Care Insurance work?
As you get older or sometimes due to illness people may find it difficult to complete tasks that were once simple and routine. Routine tasks such as getting dressed or bathing are called ADLs (Activities of Daily Living). There are 6 ADLs in all. Once an individual is having trouble with 2 ADL’s most LTC policies can be activated.
What does Long-Term-Care Insurance cover?
- Nursing Home Care
- Assisted Living
- In-Home care
What are my Long-Term-Care Insurance options?
- Self funding
- LTC policies
- Medicaid Spend Down