This is a common misconception and one of the main reasons why people ignore the importance of getting long term care (LTC) insurance. Most of them think that the government will take care of them should they be needing ltc services in the future. Medicare and Medicaid are federal programs, medicare helps people pay for long term care services but only for a limited period of time while medicaid pay for it if you pass their eligibility requirements. With the increasing numbers of Americans aged 65 years and older, ltci is now a pressing issues among seniors. As soon as you are not able to perform 2 or 3 of the daily activities (eating, dressing or bathing) you are already an ltc dependent, and even if you are still able to perform these activities, you may still be a dependent of these service if you develop a chronic condition. And the cost of care in nursing homes, assisted living facilities and other care facilities does not come cheap. You may spend up to $100K annually for nursing homes depending on your location. So you might want to consider getting one for yourself, but before you freak out and purchase one, do your assignment first. Research, read about the issue and talk to experts.
Don’t think you will need Long Term Care Insurance, you may want to think again! Nearly 60 percent of those over age 65 will require at least some type of long-term care services during their lifetime.
What exactly is Long-term care insurance (LTC or LTCI)? It is an insurance product sold in the United States and United Kingdom and helps provide for the cost of long-term care beyond a predetermined period. Long-term care insurance covers care generally not covered by health insurance, Medicare or Medicaid.
People who require long-term care are generally not sick in the traditional sense, but instead, are unable to perform the basic activities of daily living (ADLs) such as dressing, bathing, eating, toileting, continence, transferring (getting in and out of a bed or chair), and walking. Read more…