Long term care insurance is different from traditional healthy insurance in that it is intended to cover long term services and supports. This can include personal and custodial care in places like a home or hospice. This type of insurance policy reimburses the policyholder a daily amount for services that can assist with activities like bathing, dressing, or eating. The cost of the policy is determined by the policyholders age and the number of days that the policy will pay.

Who needs long term care insurance?

Long term care insurance is designed for those who do not have family members (children or relatives) who can take care of them when they get older. Most people searching for a policy will look years in advance, prior to incurring too many out of pocket expenses, usually between the ages of 45-55. This allows one to pay into the policy prior to events happening that will require this coverage. The average cost of a private room in a nursing facility is $100,000. Long term insurance typically covers all or part of assisted living facilities, medicaid does not. Finally, the average premium for a couple of 55 years old is around $3,000

Does insurance cover long term care?

No, your health insurance will not cover long term care. Simply put, if you are a person who falls under the category of someone who may be searching for health care assistance later in life, then you should consider long term care insurance. It is a difficult decision to make with yourself but one that may save you significant costs and heartache in the big picture.

Pitfalls of long term care

Those who are in poor health may not be eligible for long term care insurance. This is because that person could require medical coverage prior to getting approval for extra payments daily. Many long term policies have a limit on how long or how much they will pay the policyholder. Lastly, sometimes insurance companies may raise their premiums.

Looking for help navigating the complex world of long-term care? Contact us today.