Long-term care insurance
LTC Insurance Specialist
"For most consumers, the hardest part is getting comfortable paying for insurance that will kick in when they need help doing things they take for granted today: bathing, dressing, eating. Despite the fact that three out of four people who live to age 65 are likely to need such care, consumers are hesitant to buy LTC insurance to cover the need."
— Paul Sullivan in the New York Times
I've been working as a long-term care specialist for more than 20 years. When I was young, I was a paid caregiver. I put myself through college by working in a nursing home and as a private aide. I could see that it was hard on people to get the care they needed, in part because they had to pay me to help them. That's what LTC insurance does. It pays for help when you need help to take care of yourself.
Consumers who run the calculations quickly realize that if a care need develops, they would quickly recoup all of the premiums — and much more. Care costs vary across the country, however, and it was recently estimated that the length of time you would have to collect LTCI benefits to recoup all premiums paid is 12-15 months on average. It is better to pay the premiums than to have to pay out of pocket for care when you are retired and on a fixed income. In a nutshell, that's why LTC insurance is a wise investment.
Mary and I hope we don't need our long-term care insurance. But we also hope we won't be bankrupted by care needs. So we both have policies. It's our financial safety net. It gives us peace of mind.
See the attached links for more information on long-term care insurance.
Many people wonder if they need LTC Insurance. Here are some of the questions our clients have raised. Did you know that health insurance and Medicare do not cover most long-term care costs? Read on.
The most frequently-asked questions have to do with Medicare, Medicaid, financial suitability, and policy design. This FAQ will help you understand how to take control of your care planning.
This guide is provided by the National Association of Insurance Commissioners as a consumer service. It is the single best primer we know of about long-term care insurance planning.