Digging Down to the Root of Long-Term Care Insurance

By Steve Elliott | April 15, 2024 | Comments Off on Digging Down to the Root of Long-Term Care Insurance

This may not be something you want to hear, but there may come a time in your future when you require some form of long-term care. Most people don’t even think about the prospect of requiring long-term care, at least not while they’re in their 30s, 40s, or 50s. Maybe you have a parent who was dealing with chronic health issues, injuries from an accident, or some other health emergency that required extensive care for a prolonged length of time. If it went on for more than at least a few weeks, then this was long-term care. Having information about a policy to cover this and getting a long-term care insurance quote would be useful in making future decisions.

Long-Term Care Insurance Quote Del Mar CA - Digging Down to the Root of Long-Term Care Insurance

Long-Term Care Insurance Quote Del Mar CA – Digging Down to the Root of Long-Term Care Insurance

Do you have any idea who paid for that long-term care? Most people incorrectly assume that their primary health insurance policy will cover it or that Medicaid will cover those expenses. Medicaid, in most situations, will only cover long-term care after the individual has paid for it themselves and exhausted all of their available savings and assets to do so. Plus, when it comes to Medicaid covering these expenses, most states only allow one type of long-term care, most notably nursing home care.

A constantly changing industry.

The long-term care insurance industry has changed dramatically in the last couple of decades. It has expanded the options for aging men and women who may need prolonged care, whether they prefer to age in place (meaning they want to remain home for the rest of their lives) or require some type of facility care, like assisted living or nursing home support.

What are the odds you will need long-term care in the future?

If you are in your 40s or 50s right now, you might be taking great care of your health. You may be eating right and getting plenty of exercise. So, you might assume that you are at a low risk of requiring long-term care at some point in the future.

However, the reality is that about 49% of men and 64% of women who are 65 right now will require some form of long-term care in the future (Department of Health and Human Services). But you might not be at that place just yet. You may still be in your 40s or 50s, as we mentioned.

So, what are the odds?

Let’s put it this way: you may put this off because you are nowhere near 65 just yet but understand that long-term care insurance policy costs will increase the older you get by the time you start a policy. Plus, you may be denied coverage if you wait too long and you have a personal history of health issues or a family history of health issues that may make covering these expenses more problematic for an insurance company.

About 14% of people age 65 right now will require more than two years of paid long-term care. The average cost of that is over $120,000, according to the Department of Health and Human Services.
Of course, if you live in Alaska, for example, nursing home costs have soared in recent years, putting the total well over $300,000 for one year, on average.

When should you start a policy?

There’s no “right or wrong” answer to this, but as we mentioned, the longer you wait, the greater the risk of a policy becoming cost-prohibitive or even being denied coverage due to medical history or other factors. Getting a long-term care insurance quote would give you an indication of cost and eligibility.

The optimal time, according to the industry, is around 55. This is considered the “sweet spot” to begin a long-term care insurance policy. Even though you don’t foresee any serious health issues, and even though there might not be any family history of heart attack, heart disease, stroke, cancer, Alzheimer’s, or any other major illness or medical emergency until well into your 70s or 80s, you never know what the future will hold.

Turning to a long-term care insurance policy now is helping to protect your retirement years, the money you saved working all of those years, and protecting your spouse, partner, or other family dependents who count on you.

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

Steve Elliott
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