What May Happen If You Don’t Have Long-Term Care Insurance

By Steve Elliott | October 31, 2023 | Comments Off on What May Happen If You Don’t Have Long-Term Care Insurance

Long-term care insurance is vital for people as they get older, especially as they approach retirement age. Not enough Americans are thinking about long-term care prospects, mostly because they don’t see themselves as needing it and do not realize what is covered by long-term care insurance cost. It’s one of those things where, if you don’t need it, you don’t want to think about it.

Long-Term Care Insurance Cost Oceanside CA - What May Happen If You Don’t Have Long-Term Care Insurance

Long-Term Care Insurance Cost Oceanside CA – What May Happen If You Don’t Have Long-Term Care Insurance

However, as people live longer when they reach 70 or 75, they will have a 50/50 chance of requiring some type of long-term care in the future. Don’t assume that Medicaid is going cover these expenses because it won’t until they have exhausted all of their available assets and savings. That may very well include the equity they have in their home if they own one.

Most insurance policies don’t provide coverage for long-term care, only short-term care. That’s why it is so vital that aging men and women and those in their 40s and 50s begin to think about how much long-term care costs these days, how much it may cost in the future, and what could happen if you don’t have the right insurance in place to help them cover at least some of these expenses.

So, let’s look at some of the things that might happen if you don’t bother with long-term care insurance now.

1. You may have to pay for it out-of-pocket.

As we mentioned, many people incorrectly assume Medicaid will cover their long-term care expenses once they have passed retirement age. Medicaid only covers one type of elder care (in most states), most notably nursing home care. But it will only start paying for those bills after the individual has exhausted their available savings and assets.

Some seniors have to take out a reverse mortgage to cover the cost of long-term care first. They have to close out their investments and use all of the liquid assets they have available before Medicaid starts to pay for them.

That often comes as a shock to many seniors, which is why long-term care insurance is so important, especially after you’ve worked most of your adult life to save for retirement you want to enjoy.

2. You might learn you don’t have much of a choice in the type of elder care you rely on.

As noted, in most states, Medicaid only covers nursing home care. You might prefer to go to an assisted living community or rely on in-home care, but you would have to pay for that yourself. The government isn’t going to step in and provide coverage for those types of elder care.

If you want control over where you live and what type of support you get, turn to a quality long-term care insurance policy now.

3. You may have to struggle longer with Activities of Daily Living.

ADLs, or Activities of Daily Living, are those things that we often take for granted in our younger years. Bathing, toileting, cooking, cleaning, and so much more will, at some point in time in your life, become more difficult to do.

Imagine you could have an in-home care aide assisting you with some of these. Could you afford that? Maybe. Maybe not. If not, or if you don’t want to use all the money you saved during your working life just for that, consider long-term care insurance.

If you or a loved one are considering Long-Term Care Insurance Cost in Oceanside CA, please contact 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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