Long Term Care Insurance And Its Indispensable Nature

By Author: Georgina Thorne
Total Articles: 14
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Have you ever wondered Long Term Care Insurance Partnership (LTCI)? It’s a widely talked about hedge against the soaring cost of care and has matter-of-factly transcended three decades but many people still have not secured their own LTCI policies.

Research has shown that a big percentage of Americans believe in the power of long term care insurance (LTCI) to protect their finances from expensive long term care (LTC) services. But their indecisiveness in their capacity to afford this type of product stems from various reports that are usually focused on the cost of LTCI policies.

Gathering facts about the costs of LTCI policies and LTC per se is somewhat helpful but relying only on these as you work on your personal plan is not going to produce the best results. According to experts, the price of your LTCI coverage will depend mainly on your age, present state of health, and future health care requirements.

If your 65-year-old neighbor is spending $2,500 annually on the premium of his LTCI policy it ...
... does not mean you will shell out the same amount. LTCI policies do not come with a fixed price because no two individuals share exactly the same set of health issues and health care requirements.

That said, focusing too much on reports that delve on the cost of LTCI is not going to help you. Better have your health checked by a licensed physician so you can find out what you are at risk of developing in the future, as this will have an impact on the amount of coverage that you will need.

Who Should Buy Long Term Care Insurance?

If you have a tendency of acquiring a chronic illness that will subject you to years of nursing home care, then you should consider an LTCI policy that will guarantee you full nursing home coverage.

Meanwhile, if your family does not have a history in any debilitating disease do not be so quick to conclude that you’re one of the few who won’t require an LTCI coverage because there is another form of LTC and it is called custodial care.

Custodial care is non-medical by nature that focuses on assisting in-home care recipients with their activities of daily living (ADL) such as bathing, dressing, transferring from the bed to a chair or vice versa, eating, continence, and toileting. It’s usually infirm elderly people and those who are cognitively impaired that require this type of service which costs tens of thousands of dollars a year. At present, the average hourly rate of a home health aide is $19 or $43,472 a year but in just a period of 13 years these figures are expected to rise to $86,944 along with the costs of other LTC settings. If you are not armed with the right LTCI coverage, you will wind up spending all of your hard-earned money to cover your LTC costs.

Young people cannot be blamed for thinking that they might not require an LTCI policy. However, if they would only take a day off from work and do nothing but observe how people in their 60s, 70s and 80s are getting by with their day-to-day lives.

If you like what you see, you can forget all these talks about LTC planning but if the scenes sadden you, perhaps you should ask yourself one more time if you’re among those who should buy long term care insurance.

We give away long term care quote for free and information regarding your long term care insurance costs.