There are many reasons to consider long-term care insurance. If you have a lot of assets you want to protect for your spouse or family members, investing in long-term care insurance is a smart idea. Another reason is if there are chronic health conditions that run in your family and put you at risk. Have you considered the costs of a nursing home, an assisted living facility, or home health care? If you have and know you won’t be able to afford any of these services out of pocket for an extended period of time, long-term care insurance is a must.
Long-term care insurance protects your finances in the event you need long-term care in the future. According to the U.S. Department of Health and Services, a semiprivate room in a nursing home averages $198 daily. That winds up being over $72,000 per year. It can wipe out an entire retirement nest egg.
Another important fact to take in to account is Medicare is very limited as to what it will and will not cover, and often if you do qualify for Medicare, you must have an extremely low income and virtually no assets.
A long-term care policy will cover extended care in assisted living facilities, adult day care centers, nursing homes, as well as your own home. Not only will it cover skilled medical care, but it also helps with day-to-day activities should you become chronically ill or disabled.
No one knows what the future holds, but one way to ensure a profitable future is with long-term care insurance. It is best to buy a policy before you develop any health problems, or else you run the risk of being uninsurable. A wise time to buy is in your mid-50s or early 60s. However, the younger you are when you purchase a policy, the less expensive your premium will be.
Tiffany Buczek is a freelance writer and licensed esthetician living in Southern CA.