Most people don’t like to spend money on insurance unless they see a real benefit. Let’s say a few of the benefits included:
Convinced yet? Let’s talk about long-term care insurance.
Long-term care includes skilled care and/or personal care you may need at home, in respite care, hospice care, adult day care, a nursing home, or an assisted-living facility. The policy claims are available when you are unable to perform two of the six activities of daily living, known as ADLs (transferring, bathing, toileting, dressing, eating, and continence).
When do you need long-term care insurance? If you:
Long-term care insurance is not always the right choice. You might not need long-term care insurance if you:
The cost of long-term care insurance can vary greatly from city to city and state to state. Check out this “Cost of Care” map from the Life and Health Insurance Foundation for Education to see costs for your part of the country.
If you’ve decided that long-term care insurance is right for you, you have some options for providers:
Unfortunately, because long-term care policies are also underwritten based on age and health, providers evaluate you according to your health history. If you have a preexisting condition, such as Alzheimer’s disease, it is highly unlikely that you will be able to secure a long-term care insurance policy. In addition to taking into consideration your health concerns, you need to figure out if long-term care insurance is the right fit for your financial portfolio. Long-term care insurance is not for everyone.
Buying long-term care insurance is a big decision that requires forethought, analysis, and planning. Consult with your adviser on how you should proceed to protect your health, your assets, and your loved ones.
Linda Rey is a licensed insurance agent at Rey Insurance with a broad spectrum of expertise in life, accident, health, property and casualty insurance as well as retirement planning and college funding strategies.
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