How to Calculate Just How Much Long-Term Care Insurance You May Need
As with most insurance policies, the policyholder can determine how much they pay every month for their premium by how much coverage they actually get. For those who are looking into long-term care insurance for the first time, it’s a good idea to sit down and figure out just how much coverage may be necessary.
Long-Term Care Insurance Cost Del Mar CA – How to Calculate Just How Much Long-Term Care Insurance You May Need
Determine the cost of care in your neighborhood.
Each region of the country has different expectations with regard to cost for health coverage, home care, assisted living, nursing home support, and more. For example, in the South, in states like Alabama, the cost of some of these services will be more than half what they may be in Alaska.
Determine the cost of long-term care in your part of the country and how long you may need coverage for. You may only require coverage for a few months while you recover from major surgery or a medical emergency in the future, but what if long-term care is needed for years and years on end?
Account for inflation.
If you’re in your 40’s you might not ever have a need to file a claim on a long-term care insurance policy and if you do, it might not be until you’re in your 70’s or 80’s. How much is long-term care going to cost then? It’s important to calculate in estimated inflation rates.
None of us can accurately predict how steep inflation will be in 40 years, let alone 10 years from now, but when you make general assessments, don’t forget to include the cost of inflation when determining long-term care costs.
Consider a policy that has a compound increase rider.
This rider basically accounts for inflation rate increases. You want to make sure the policy includes this type of rider so you’re covered for future cost increases.
Determine the assets you have and how much you can afford in the future.
You may not have any clue how significant the assets you’ll have in the future, but most people, when they plan for retirement properly, have a pretty good indication of what to expect. These are the assets you want to protect from having to be used for long-term care expenses.
You also need to take into account how much you can afford for a premium at the moment. If you are tight on finances you may have to sacrifice certain components of the policy, at least until some later time. Keep in mind, though, that the later you start your policy, the more expensive it could be.
If you or a loved-one are considering Long-Term Care Insurance Cost in Del Mar CA, please contact Steve Elliott at Capstone Insurance for an honest discussion about your future and your options. Call today (858) 350-3161.
I work with all the major insurance companies and my objective is to help my clients determine if long term care protection makes sense for them and if so, to help them shop the market to find the best company at the best rate
I specialize in Traditional Long Term Care Insurance as well as Hybrid Long Term Care Plans which are either a combination of Life Insurance and Long Term Care or an Annuity Plan with Long Term Care
I’ve been specializing exclusively in Long-Term Care Insurance Planning for over 21 years.
Steve was recognized as a 2003 Long Term Care Expert of the Year at The National Long Term Care Producers Summit
2006 was awarded Senior Market Advisor of the Year Finalist by Senior Market Advisor Magazine
National Speaker for Numerous Industry Meetings
Awarded Nations Top 10 Agent 8 times by the American Association of Long Term Care Insurance
Author of numerous published articles on long term care planning
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