Tag Archive | LTC

I’m Going To Wait Before I Buy LTC Insurance

As most adviser and expert would say, when it comes to long-term care insurance, “Do not wait too long”. Waiting too long can have many negative effects on your application and your future as well. Your long-term care insurance premiums are much cheaper when you buy it while you’re young and healthy, there is lesser chance of being declined because as you age, your health declines as well, so if you wait too long, you might have develop a condition that will disqualify you from getting long-term care insurance. And if it is already too late for you to get one, how are you going to manage your finances once the need for care arises? A long-term care event can deplete even an ample amount of savings. As a result, you might not be able to get the quality care you need and want if you no longer have the funds to cover your long-term care expenses. Shop for long-term care insurance quotes from different companies so you have the options to compare and choose the best policy.

The Long Term Care Guy Blog

Why should a person buy LTC insurance at age 50, when they may not need care (typically) until age 80?  Why pay premiums all those years?  Who wants to spend money for 30 years of premiums.

Seems like a logical viewpoint, why start paying premiums now when it could be 30 years before you might need care.  As long as you stay healthy it’s a valid viewpoint.  If only you could guarantee that!

If you were 24 years old, with a Camaro or other expensive to insure car, and knew that the car insurance would be much less after your 25th birthday, would you wait?  It will only be a few months……..

HEALTH CAN CHANGE

Did you know that 40% of the people receiving LTC services in this country are between 18 and 64?  Many people go to the doctor every year for a check up and stay in good health, until the checkup where the doctor tells you…

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How Can LTC Insurance Help You Protect Your Assets?

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Long-term care insurance, not only secure financing your future long-term care expenses, but also protects your assets so you will have something to pass on to your heirs and loved ones. Expensive as it may be, it is still easier to pay an affordable monthly premiums than to incur large out of pocket expense to pay for the cost of such services.  In the end, we will get to realize that the capital needed to pay for long-term care insurance is typically smaller than the amount of money needed to pay for the cost of long-term care.

Davis Financial Service

Ness Insurance and Annuity, LLC - Annuities, Life Insurance, Health Insurance, Medicare Supplements and Long-Term Care - Western Washington

Plan to create a pool of healthcare dollars that will grow in any market.

Provided by Jeffrey Davis

    

How will you pay for long term care? The sad fact is that most people don’t know the answer to that question. But a solution is available.

Many baby boomers are opting to make long term care coverage an important part of their retirement strategies. The reasons to get an LTC policy after age 50 are very compelling.

Your premium payments buy you access to a large pool of money which can be used to pay for long term care costs. By paying for LTC out of that pool of money, you can help to preserve your retirement savings and income.

The cost of assisted living or nursing home care alone could motivate you to pay for an LTC policy. Genworth Financial conducts a respected annual Cost of Care Survey…

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Advantages of Buying Long Term Care Insurance

If someday you happen to need assistance and care support, and you don’t have enough money to afford long term care anymore, what are the possible options that you can do? Ask help from your family? Rely on your friends? What if they don’t have the capacity to help you anymore? Buying long term care insurance is a sure way to avoid these kinds of problems.

 

Getting your own long term care insurance, or even for a family member, will help you tons in saving up and in making sure that you get the help you need on time and when you need it the most. Long term care insurance makes it easier for you to find the care that you need and that you will have access to care faster, especially when you really need it.

 

Most people who get long term care insurance want to have the quick access the moment they need the help and long term care. People get long term care insurance early in the hopes of using the service that would help them and having the insurance cover up the costs that it will bring to them, relieving them the duty of finding the high amount of money needed in paying for long term care at the time when they need it already.

 

A large number of people underestimate the expenses that they will use for long term care when they grow older or when the time comes that they need it. They think that they can rely solely on the health insurance that they have secured for a long time, since it covers most of the expenses brought by health-related situations. What they do not know is that the health insurance that they have doesn’t necessarily cover every service that they need and every cost that they have to pay such as the long term care.

 

Moreover, if the health insurance covers even some of the expenditure that they will have regarding the long term care, they would probably be brought to places they do not actually prefer or they would be given alternative services that they don’t necessarily need, which sometimes makes their expenses go even higher. You will not be able to choose which services you want or where to receive the long term care or even the quality of the care you get.

 

It is more beneficial to invest in long term care insurance since you will most probably need it in the future. In relation to this, the insurance company will cover the expenses you will acquire in the long term care so you could shoulder the costs of the additional payments or services and other charges, if there is any. You could also think about the other expenses that you will have to keep in mind since long term care is not the only thing that you will be paying for in the future. You could mind your other needs and priorities as well. Buying long term care insurance will help you avoid the troubles you could come across when you need and use the long term care in the future.

 

References:

What We Don’t Know About Long Term Care – Is A Lot

The most common reason why people ignore the significance of long-term care planning is denial, majority of Americans think that they will not need any long-term care services. Another reason is the increasing cost of long-term care insurance premiums, not realizing that they might be incurring large out-of pocket expenses for ltc services. Most of the times, those who seek long-term care think about the cost of care only when the need arises and at this point, it is already too late to purchase a long-term care insurance because it is either you will be declined, or the cost of premium will be too high.

If we think of relying on spouses or children or other family members to provide care for us, think again, would you want to be a burden to your loved ones? You will leave them stressed and devastated not only physically but also emotionally and financially because caregiving is an enormous task. In addition, you will be leaving them broke because the cost of long-term care services are too high that it can drain even an ample amount of savings.

Relying on medicaid and medicare is not wise because medicare does not necessarily cover long-term care, while with medicaid, you have to spend down all your assets to become eligible. It doesn’t even assure that we will get quality care when we need it and where we need it.

The Long Term Care Guy Blog

Americans over 40 — in other words, us — are dangerously unaware of our likely need for long-term care when we age and woefully ignorant about the costs, according to a new poll of adults in midlife and beyond.

 
The telephone survey of 1,019 boomers over age 40 was conducted by the Associated Press-NORC Center for Public Affairs Research and financed by the non-profit SCAN Foundation, which supports research and other initiatives on aging and health care. It found that many older Americans had barely begun to think about their long-term care needs, nevermind put aside money to cover them. For example, nearly 31 percent of respondents said getting older was something they’d rather not think about.

Following are other highlights from the poll, along with advice available on Next Avenue to help you avoid falling short when the time comes.

Only 16 percent of…

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How is “Typical Aging” Different from “Warning Signs” of Dementia?

Photo credit: infolongtermcare.org

Photo credit: infolongtermcare.org

A lot of adult children are struggling in dealing with parents who have alzheimer’s disease, for some, they find out too late that their parents or loved ones are already suffering from this chronic illness so it is therefore important to look for the warning signs. A common sign of aging is forgetfulness, however, if it becomes too frequent and you also notice signs of disorientation to time and place and unpredictable moods, you should be alarmed. It is always best to consult a physician so he can run a series of cognitive exams. A lot of long-term care dependents suffer from Alzheimer’s and other forms of dementia, it would be helpful if we are aware of the symptoms of the disease and we are knowledgeable on how to deal and manage it.

How to pay $6,000 or more a month for long term care.

 

The financial challenge brought about by the increasing cost of long-term care insurance is one of the major reason why it is one of the most ignored annuity. If we are going to take a closer look and study how long-term care insurance works, we might be able to realize that the benefits far outweigh the cost and cons of buying ltci. The amount of money required to purchase insurance for long-term care is typically less than the amount of money needed to pay for ltc expense.  As a result, you still have money to leave to your heirs or family members. LTCI is a wonderful product, however, people are misguided, thus, it should be a responsibility for every individual particularly the baby boomers to educate themselves about the impact of long-term care.

Partnership for Long Term Care

As insurance brokers we hear this all the time “I’ll invest the money instead of paying premiums for insurance.”

For every $1,000 of monthly retirement income you want to generate  from your own savings, you will need about $230,000 in assets,  according to the Schwab Center for Investment Research. 

For example, if you want $3,000 a month, or $36,000 a year, you would  need savings of $690,000. That’s a conservative estimate, assuming that you earn 5.2% on your investments and live off the earnings without dipping into the principal.

For $6,000 a month you will need at least $1.3 million. Then there’s living expenses for spouse and family, maybe another $4,000 a month. You will then need over $2 million.

A $3,000 a month benefit policy might cost $1,000-$3,000 a year for the premium, depending on age, health and other benefit options chosen. The $3,000 a month benfit policy would include inflation protection that…

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Long-Term Care Insurance – Delving in to Possible Future Situations

 

As more and more people think that they do not need long term health care insurance, they fail to notice that it will do them more harm than good. People think that this kind of insurance is only for people who want to have a luxurious life in the future, and that it is only for people who earn significantly higher than the average. On the contrary, US Department of Health and Human Services says that 70% people will need long term care above the age of 65.

 

Since mortality rate nowadays is higher than those of before, people will live longer, hence, will need more help from other people when they cannot do basic everyday tasks anymore. And sometimes, assistance and care needed isn’t free at all. There and there will always be expenses such as the payment if you need to go to the doctor for a check-up, the payment for the caregiver you are hiring, the payment for the facilities, and even the expense for your transportation.

 

If you haven’t planned for your future yet, are you be willing to sacrifice and allocate your money and other assets to health-related and long term care expenses? Will your assets and out-of-pocket money be enough to cover all the expenses for the longevity of the years you will live post-retirement age? Do you think that you will be able to pay for the other expenses brought by daily living and of the old age at the same time?

 

A Look at the Long Term Care Insurance

 

Long-term care insurance is the service given to elderly people – the seniors – that are basically home or community-based. It is a long term care that centers on the assistance of the basic daily activities such as moving, eating, dressing, using the toilet, and taking a bath. Since older people get weak faster than they were younger, they, more often than not, need more assistance to perform simple tasks.

 

Almost everybody reaches this stage in life wherein people cannot move freely and easily anymore like they used to. Sometimes, even more complications regarding the health matters arise from this condition which makes a person’s life even more complicated than it already is. That is why you must start early in planning what to do in these kinds of situations so to avoid rush decisions that could bring you even more problems than you could handle at the time.

 

Ideally, you should start saving up and investing in long term care insurance when you still have the time, energy, and resources that you will need. It is when you are younger that you are farther and less prone to have sicknesses and complications that will affect your health, that is if you have a balance diet, well-fitted and in good health. This is the ideal time to start planning because you could still decide on how your life will go about, figure out what kind of long term care you will need, and be able to allocate your properties and resources where you want them to be designated.

 

Think about your properties and the assets that you have presently. Mind your health and age and see what will you or your family need someday and prepare for it. Mull over purchasing a long term health care for your future and see how much difference it can make.

 

Private Home Care Offers Affordable Alternative

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Home health care is preferred by majority of long-term care recipients due to the incomparable freedom and comfort. In addition, the greatest benefit that home care provides is the companionship of family members and loved ones. Home care is also the most affordable of all long-term care settings. Infolongtermcare provides few more reasons why home care is more beneficial, take a look here for practical advantages of home care

Claude Pepper Center

With the costs of long-term care rising, private homes in Florida can offer a more intimate feel while potentially saving more money than traditional options such as nursing homes or assisted living facilities.

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Photo credit: Universal Pops. Easton-Hancock House. Flickr Creative Commons.

Barbara Peters Smith. Private-home care could become more common for elders. Herald-Tribune. Jan 23, 2014:

“And this informal business model could prove popular in the next decade for baby boomers retiring to Florida with experience in geriatric care — and perhaps not enough money to afford the kind of home they’d like to own.

As with the burgeoning home health care industry, the entry of more providers into this field — particularly without oversight — expands the potential for abuse.

“It’s pretty much part of the landscape, and it’s going to be growing,” says Larry Polivka, director of the Claude Pepper Center for aging studies at…

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Partnership Policy: Collaboration between Long Term Care Companies and the Government

Medicaid is a program set by the government that specifically tackles and provides long term care needs. However, this program has an asset level requirement that is quite low. This means that your assets have to be nearly exhausted to qualify. The tendency is for you to spend down in order to be given benefits. That was the case until the government started pairing up with long term care companies.

This collaboration between the government and the different private insurance providers paved the way for a new type of long term care insurance—the partnership policy. If you sign up for this, you can protect your assets and still qualify for Medicaid.

 

Before partnership policies came into picture, buyers of long term care insurance were to choose between a reimbursement policy and an indemnity policy.

 

In a reimbursement policy, the insurer will pay off the exact amount that you have incurred for care and expenses. What remains of your maximum benefit will be returned to your pool to be used for other claims in the future. Meanwhile, an indemnity policy pays off your maximum benefit regardless of the actual amount of your expenses. You can use what remains of your benefits any way you want.

 

Back then, most people would opt for the indemnity policy, however, this type costs more than a reimbursement policy. Those with financial limitations have no choice but to purchase a reimbursement policy with the thinking that at least, they were covered with insurance.

 

But with the onset of partnership policy, people are given more options; thanks to the tie-up between long term care companies and the government.

 

Partnership policy originated in 4 states—California, Connecticut, Indiana and New York, but due to the Deficit Reduction Act of 2005, this type of policy has been made available in all 50 states.

 

Basically, you need to reside in the state where you wish to receive care in order to qualify. Furthermore, your policy needs to be protected against inflation, too. Most policies have this feature so this requirement is not hard to meet.

 

Medicaid Asset Protection is the main feature of a partnership policy. It provides a shield to a portion of your asset that amounts to your total benefits. Say your policy’s maximum benefit is at $300,000, in effect, it protects $300,000 worth of your assets against Medicaid’s asset boundaries. You can be qualified to claim Medicaid benefits after you have utilized your policy’s benefits.

 

A partnership policy offers a win-win solution when it comes to getting covered for long term care. First, you get the benefits that a traditional policy has. More so, you would not be anxious should you need more care after you have claimed your benefits as you can still be covered with Medicaid. Most importantly, you get to preserve your assets. Assets that you toiled for and intend to pass on to your loved ones or heirs.

 

Long term care is a national issue that needs to be dealt with. It’s good to know that it is being addressed with the best efforts. Though there’s still room to improve when it comes to this issue, this tie-up between long term care companies and the government can be considered as a good start.

Families providing care

When it comes to caregiving, it is always our first choice to rely on family members to provide care for us. Whenever the need for long-term care arises, infolongtermcare.org notes that American families prefer family and home caregiver rather than sending loved ones to long-term care facilities. According to Department of Health and Human Services, there are more than 65.7 million Americans providing care for an aging, ill or disables loved ones. Most of those involved are adult children who feel the need to give back to their parents who raised them, and one of things they can do to show their love is to show their sincere concern by personally providing the care they needed.

Daniel G. Alcorn (518) 346-2115

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39% of U.S. adults care for someone with significant health issues, up from 30% in 2010.

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