As we get older, it’s important to plan ahead and be prepared for what comes our way
One of the most important things to consider is how you will handle long term care if you ever need it. While no one wants to think about needing long term care, the reality is that it can be incredibly expensive – and having an insurance policy in place can help cover those costs. Let’s break down why Long Term Care Insurance (LTC) makes sense for many people.
What is Long Term Care Insurance?
Different policies have different coverages of course, but in general LTC coverage can help pay for the cost of elder care services like nursing homes, in-home nurses/assistants, assisted living, home modification, adult day care, or the coordination of all these types of care.
An LTC policy may also pay for the cost of care due to a chronic illness, a disability, or injury. It also provides an individual with the assistance they may require as a result of the general effects of aging. Primarily, though, LTC insurance is designed to help pay for the costs of custodial and personal care.
What Doesn’t it Cover?
Typically, LTC insurance does not cover the cost of surgeries, doctor’s visits, and prescription drugs, which are all under the purview of personal health insurance or Medicare.
Why is it Worth it?
According to The Senior List, the median cost of a nursing home in 2022 was about $8,000 per month for a semi-private room and $9,300 for a private room. That means you’re likely paying over $100,000 per year for this care. The median cost of in-home care was $26/hour, which could result in an even higher annual total than a nursing home depending on the time needed.
How would you support the costs of this care if you and/or a loved one required it? Having the right policies in place can help you alleviate the burden. In addition, preparing earlier can help you save, as costs can increase significantly with age.
Let our agents help you understand the costs, coverages, and plans you have available. We want you to be prepared for the long term!