Approximately 70% of older adults will need some type of long-term care at some point. This type of care could include a nursing home or various degrees of in-home care, whether that includes skilled nursing care, help with activities of daily living, or some combination of services.
The problem is that long-term care services are expensive-and the costs are not covered by Medicare, outside of a 100-day period where skilled nursing care is covered for those who qualify and which does not cover non-medical care.
Medicaid does cover some costs of long-term care, but the income requirements to qualify for Medicaid assistance are very strict. It is not uncommon for older adults to spend everything they have on their care in order to qualify, so that by the time they do, they are near destitution.
This can be prevented with an LTC insurance policy. But these policies come with challenges of their own-and not everyone is a good candidate. Here is an overview of when you should – and shouldn’t – consider long-term care insurance.
If you have assets to protect.
If you have significant assets-such as a valuable home or savings account-that you want to protect and leave to your family, you may want to buy LTC insurance. If you can afford it, this type of insurance will cover your long-term care without requiring that you “spend down” to meet strict income requirements. Most states approved a Partnership asset protection exemption from Medicaid spend-down for certain long-term care insurance policies. https://partnershipforlongtermcare.com/
If you have a health problems that suggests you may need care.
If you have a history of health problems in your family that typically need this type of care, however-such as dementia, diabetes, or cardiovascular disease-you may be more likely to need it yourself.
If you have no family members to rely on.
If you have no close family members who could care for you, then buying long-term care insurance may be a better bet. That being said, it is possible that even if you have a family member ready and willing to care for you, he or she will not be able to provide the type of care you need as your situation progresses-or your future caretaker’s financial or job situation will change and make caring for you less of an option.
Because of the expense, making the decision to buy long-term care insurance is never easy. But for many seniors, it can be crucial. Do some research on your options, and hopefully you’ll be able to make the best decision for your situation. https://guidetolongtermcare.com/