What is Long Term Care Insurance (LTC)?
Long Term Care, or LTC, insurance is designed to provide protection against future long term medical care costs. With the rapidly rising cost of health care, particularly among retirees and seniors, an extended condition that requires professional care can rapidly drain your financial resources and leave you unable to maintain your quality of life.
Many people believe that their existing health coverage, such as Medicare or traditional health insurance will cover the costs of long term care. Medicare has stringent eligibility requirements for skilled nursing care only and the coverage is for a limited period of time. Health insurance and medical supplements DO NOT cover extended care needs. Without LTC coverage, individuals and families spend down their savings, assets, and investments to pay Long Term Care costs.
What are the features of Long Term Care Insurance?
People that require long term care aren’t typically sick in the traditional sense, but instead, are unable to perform the basic activities of daily living such as dressing, bathing, eating, toileting, continence, transferring (getting in and out of a bed or chair), and walking. LTC insurance is intended to cover the costs of extended care for people that need help with the above tasks beyond a certain, predetermined period. It covers expenses such as skilled nursing care, home health care, hospice care, respite care, rehabilitation training, assisted living, cognitive impairment such as Alzheimer’s care and more. Long term care policies typically provide daily benefits to pay for the care services required after a certain number of days in care have already elapsed, this initial period when no benefit is paid is known as the elimination period. These policies also typically have a maximum benefit period, or an upper limit on the amount of time that will be covered under the policy.
Is Long Term Care Insurance right for me?
LTC coverage should be a serious consideration for anyone nearing or in retirement and those who will need to take care of loved ones over a long period of time. Long Term Care Insurance protects you, and your family, in the event that extended health care is needed in your lifetime.
Not sure if LTC coverage is right for you? Consider this – according to the U.S. Department of Health and Human Services, about 60% of all individuals above 65 years old will require at least some type of long term care services during their lifetime. Your ability to qualify for coverage is determined by your health, age, and family history.
Your Puritan Life Representative can help you determine if a Long Term Care policy is a wise choice for you and your family. Call today to schedule an appointment!