Questions to Ask Before Selecting a Long-Term Care Insurance Policy

By Steve Elliott | March 26, 2024 | Comments Off on Questions to Ask Before Selecting a Long-Term Care Insurance Policy

When you’re seeking a long-term care insurance policy, you are doing a great thing for your future. Too many Americans don’t even know about long-term care insurance or the long-term care insurance cost of a policy, even when they are working tirelessly and saving for retirement.

Long-Term Care Insurance Cost San Marcos CA - Questions to Ask Before Selecting a Long-Term Care Insurance Policy

Long-Term Care Insurance Cost San Marcos CA – Questions to Ask Before Selecting a Long-Term Care Insurance Policy

A long-term care insurance policy may just protect your retirement savings and investments, helping you and your spouse or partner enjoy those golden years of life.

However, when you’re searching for a long-term care insurance policy, if you don’t go through an agent or broker and try to manage this on your own, there could be some missed opportunities. Before you sign on the dotted line, ask a few questions.

Question #1: How long do you want the policy to cover you?

You will want this policy to cover not just you, but your spouse or other legal dependent. But for how long? You may be able to choose a policy that covers one year of long-term care expenses. Other policies may cover up to three years of those expenses.

Keep in mind, though, that most long-term care insurance policies will have a waiting period, much like a deductible on a car insurance policy. This might be 90 days, on average, but it may be longer or shorter, depending on your desire and needs and how it balances out with the monthly policy cost.

Question #2: What does long-term care cost now and how much will it cost in the future?

If you don’t know how much long-term care costs now, you certainly won’t know how much it will cost in the future. It’s easy to throw generalities out to this question, but you should find out more specifics about your state or region.

To give you an example, when you are talking about nursing home care, the average cost for this in Alabama might be around $85,000 a year. It may be less, depending on the region of the state you are in. In Alaska, though, it can exceed $300,000 per year.

There are many different types of senior care, including home care, assisted living, and independent living communities. Find out the average cost of long-term care now and determine how much this may cost in several years, perhaps 10 or 15 when you expect to retire.

Inflation and supply and demand economics will impact the cost and since the baby boomer generation is retiring now, it’s placing increased pressure on these costs, causing them to skyrocket. That’s why long-term care insurance is so valuable now.

Question #3: When should I begin the policy?

If you are in your late 30s or early to mid-40s, it’s probably too early, unless there is a family history of serious health complications that you might face as you move through your 40s and into your 50s.

For most people, between 50 and 55 is the optimal time to begin a long-term care insurance policy. If you wait too long, you could find that the policy is cost-prohibitive or be denied coverage altogether due to your health history, family health history, or other factors.

The short answer is to not wait too long, but you don’t want to start too early.

Question #4: Is there any fine print that could impact the cost of this policy in the future?

This is something you will have to research for yourself, but it would probably be best to sit down with an experienced agent or broker – somebody who has been dealing with long-term care insurance for many years — and go over these matters.

When you do, you will be more confident in your choice, your decision on the policy itself, and what it covers so that you and your spouse or other legal dependent are covered when you need it most.

If you or a loved one are considering Long-Term Care Insurance Cost in San Marcos CA, please get in touch with Steve Elliott at Capstone Insurance for an honest discussion about your future and your options. Call today at (858) 350-3161.

Steve Elliott
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