Sign up for our FREE Monthly Email Newsletter
In addition to keeping in the financial know, you may be interested in checking your credit score and report.
¹The credit scores provided under the offers described here use the Equifax Credit Score, which is a proprietary credit model developed by Equifax. The Equifax Credit Score and 3-Bureau scores are each based on the Equifax Credit Score model, but calculated using the information in your Equifax, Experian and TransUnion credit files. The Equifax Credit Score is intended for your own educational use. It is also commercially available to third parties along with numerous other credit scores and models in the marketplace. Please keep in mind third parties are likely to use a different score when evaluating your creditworthiness. Also, third parties will take into consideration items other than your credit score or information found in your credit file, such as your income.
²The Automatic Fraud Alert feature is made available to consumers by Equifax Information Services LLC and fulfilled on its behalf by Equifax Consumer Services LLC.
³Equifax Credit Report Control™ is only available while you have a current subscription to Equifax Complete Premier. Locking your credit file with Equifax Credit Report Control will prevent access to your Equifax credit file by certain third parties, such as credit grantors or other companies and agencies. Credit Report Control will not prevent access to your credit file at any other credit reporting agency, and will not prevent access to your Equifax credit file by companies like Equifax Personal Solutions which provide you with access to your credit report or credit score or monitor your credit file; Federal, state and local government agencies; companies reviewing your application for employment; companies that have a current account or relationship with you, and collection agencies acting on behalf of those whom you owe; for fraud detection and prevention purposes; and companies that wish to make pre-approved offers of credit or insurance to you. To opt out of such pre-approved offers, visit www.optoutprescreen.com/.
4We will require you to provide your payment information when you sign up and we will immediately charge your card $4.95. After that, we will charge the card $19.95 for each month you continue your subscription. You may cancel at any time; however, we do not provide partial month refunds.
Equifax® is a registered trademark and Equifax Complete™ Premier is a trademark of Equifax, Inc. © 2014, Equifax Inc., Atlanta, Georgia. All rights reserved.
Many Americans will need the services of a long-term care provider as they get older. Unfortunately, Medicare and private health insurance companies do not cover assisted living facilities and private home care agencies, and many seniors quickly deplete their funds paying for care.
There is no one way for you to predict whether you will need long-term care in the future. But if you’re worried about the expenses associated with it, long-term care insurance is an option to consider.
When to purchase long-term care insurance
If you choose to purchase long-term care insurance, you should do so well before you need it. Insurance companies offer policy discounts to people that are in good health when they apply. Typically, these discounts are locked in, so enrolling sooner allows you the benefit of paying for your policy at a lower rate than you would have otherwise. And your coverage will start immediately, so if something happens sooner than you expected, you will have coverage for care.
Long-term care insurance companies will not issue a policy if they feel that the risk factor is too high—i.e., you are likely to need long-term care in the near future. According to the American Association for Long-Term Care Insurance, 23 percent of applicants aged 60 to 69 are denied coverage, while only 14 percent of those aged 50 to 59 are denied.
(Shopping for life insurance? Click here for the top six myths about life insurance you need to know)
How to purchase long-term care insurance
If you are still working, check with your employer to see if your company offers long-term care insurance. Many companies, especially large national corporations, can get you coverage at a discount.
Even if you apply through your employer, however, you should still shop around to make sure you are getting the best rate.
Certain long-term care insurance plans are not tax qualified (NTQ), while others are tax qualified (TQ). Contributions to TQ plans are tax deductible, but TQ plans have more restrictions around how and when the insurance pays. NTQ plans, on the other hand, generally have fewer restrictions. Carefully review the policy details to determine whether the benefits of having an NTQ plan outweigh the tax-deductible TQ premium.
Long-term care insurance should be purchased only after consulting with family. Each person’s financial situation is different and requires different considerations to be made.
Jacob Edward is the Manager of Senior Planning, a long-term care-planning agency in Phoenix, Arizona.
Equifax maintains this interactive forum for education and information purposes in order to allow individuals to share their relevant knowledge and opinions with other members and visitors. We encourage you to participate in discussions about personal finance issues and other topics of interest to this community, but please read our commenting guidelines first. Equifax reserves the right to monitor postings to the forum and comments will be published at our discretion. Do you have questions or comments about your Equifax credit report or customer-service issues regarding an Equifax product? If so, please contact Equifax directly. All opinions and information expressed or shared in blog comments are solely those of the person submitting the comments, and don't necessarily represent the views of Equifax or its management.