LONG TERM CARE INSURANCE

In general, if you can’t perform daily activities because of an impairment as a result of chronic illness or disability, you will need long term care. This would include the assistance you could need if you are unable to take care of yourself for a long period of time. However, some people who need help with these daily activities may only need them for a few months.

Do I need long-term care insurance?

Typically, don’t rely on Medicare if you’re over 65. Health insurance rarely pays for the cost of long-term care and Medicare usually doesn’t cover custodial care. Medicaid is a program that pays for the medical and long-term care expenses for low-income people, so if you are in that situation, you may not need long-term care insurance because your state’s program may pay for your long-term care expenses.

In addition, if you have financial security, you may not need long-term care insurance. Many suggest to pay for your long-term care coverage as the expenses arise. If you realize you may not qualify for Medicaid and won’t have the financial means to cover all your expenses, long-term care insurance offers peace of mind for you and your family.

Some experts have given suggestions to help you decide whether to purchase long-term care insurance. If you meet these requirements, long-term care insurance may be a good fit for you and your family:

1. You can afford the cost of the monthly premiums and can still afford the cost if there is an increase in premiums in the future.
2. Your assets average more than $80K and your annual income averages at least $35K.
3. You fall between the ages of 40 and 84 – the age limits set by most companies to write long-term care policies.

These are only guidelines and not rules for obtaining long-term care insurance.

You will need to consult your agent on the policy details and requirements.