Prepare for unexpected illness with individual long-term care insurance.
Long-term care is not covered by most medical insurance.
The positive development of medical advancements leading to increased life expectancy is noteworthy; however, it also raises the likelihood of requiring long-term care. Such care can be expensive and is often not included in standard medical insurance plans. Acquiring individual long-term care insurance could be a viable solution should you encounter a chronic illness or experience a disability that prevents you from independently managing your daily activities for an extended duration.
What does insurance cover?
The possible costs associated with long-term care are extensive and enduring, encompassing expenses such as nursing home fees, adult daycare services, home modifications, and assisted living accommodations, among others. Long-term care insurance is generally designed to provide financial support for these expenses, offering reassurance prior to their occurrence. Typically, there are restrictions on the duration of payouts from the long-term care insurance policy or on the overall sum that can be disbursed.
Payment schedules may vary from policy to policy.
It is essential to examine the payment schedule of your policy meticulously. Certain policies may limit payments to a designated amount for each category of long-term care or related expenses. Conversely, policies referred to as pooled benefits typically provide a total sum that can be allocated as needed to address your specific long-term care requirements.
Important coverage details to consider.
It is essential to verify specific details, such as whether the individual long-term care insurance policy limits coverage to designated or approved long-term care facilities, as well as the medical examinations and assessments required to initiate payouts. Additionally, it is important to note that, similar to medical insurance, pre-existing conditions and their related care expenses may not be covered for a predetermined duration following the acquisition of the policy.
Do you need long-term care coverage?
If you meet the criteria for Medicaid or possess significant wealth, you may not require it. However, for those who do not fall into these categories, it is essential to contemplate obtaining coverage for added peace of mind.
Does your policy allow for inflation?
It is essential to evaluate whether your policy accounts for inflation and to what extent. Given that it may take several years before you require benefits, and that long-term care could extend for many years thereafter, it is important to consider that individual long-term care insurance coverage limits that appear sufficient now may not remain so in the future. We invite you to reach out to us to discuss individual long-term care insurance coverage and determine if it aligns with your needs.