How Much to Save for a Long-Term Care Insurance Policy?

By Steve Elliott | December 26, 2023 | Comments Off on How Much to Save for a Long-Term Care Insurance Policy?

One common question many people have when it comes to various forms of insurance is, “How much should I expect to pay for this monthly?” That all depends on the individual. It also depends on what they expect from their insurance policy, what they desire, and what they need to cover. The same holds for when it comes to long-term care insurance cost. You may not know what type of long-term care insurance policy would be best for you and your spouse or other dependent when you start looking into this. You may not have a clue what type of elder care would be of most interest and importance to you in the future.

So, without even having any idea what type of elder care you would choose in the event you needed it in your 60s, 70s, 80s, or 90s, how can you possibly be prepared when it comes to choosing a policy based on cost?

Instead, we need to focus on coverage.

Long-Term Care Insurance Cost Carlsbad CA - How Much to Save for a Long-Term Care Insurance Policy?

Long-Term Care Insurance Cost Carlsbad CA – How Much to Save for a Long-Term Care Insurance Policy?

Some people might expect to pay $800 or $900 a year for a long-term care insurance policy. That might be a person who is in very good health, doesn’t have a significant history of family illnesses or diseases that affect them later in life, and is in their early to mid-50s.

However, another person, married, around the same age with many similar aspects, including good health and decent family history of good health might pay $8,000 a year for long-term care insurance.
The difference? It could be that the former just wanted the basic policy and the latter one a policy that is going to be in effect for a longer period, take into account inflationary pressures, and pay out longer.

Some people bundle a long-term care insurance policy with a life insurance policy. Others have a standalone policy.

So, if we want to focus on coverage, what are the most important things?

First of all, you want to make sure you have a quality policy that is going to pay out for a fair amount of time. You may be able to bring down the monthly rate by only carrying a policy that pays out for a one-year maximum. The best policy is one that will pay out for up to three years.

Why three years? Because, when you get down to it, in the event you or your spouse or other dependent requires long-term care in the future, that might be a nursing home for several months following an accident, stroke, or heart attack. What happens after that? When they return home, who is going to support them? You? Other family members? Why not an in-home care specialist? That’s part of long-term care coverage if you carry the right policy.

Second, you want to make sure the policy pays out in fair time. Almost all long-term care insurance policies will have a ‘waiting period’ before they begin covering. That means you may have to cover those expenses for 60, 90, or 120 days, for example.

90 days is fair. After that, the policy should begin covering all aspects of elder care for the duration of the coverage length.

If you have other questions about long-term care insurance, contact an experienced agent or broker who has worked in this aspect of insurance for several years and find the policy that’s perfect for you and your family.

If you or a loved one are considering Long-Term Care Insurance Cost in Carlsbad 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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