Long Term Care Insurance: Do You Need It?
Many people require long term personal care as they get older. We will not always be able to take care of ourselves, and we may not have a loved one who can take care of us. A personal care assistant or nurse can be costly, and you may find that you do not have enough money to cover it. Long term care insurance can be the answer you need. It can help you out financially by covering some or even all your long-term care, depending on the policy you choose.
1. What is long term care?
Long term care is for when people age or become ill and need some to help them take care of their daily activities, such as bathing, getting dressed, and preparing meals. This type of care primarily comes through a personal care assistant and is very expensive, and many health insurance policies do not cover it.
2. Why do you need long term care insurance?
Long term care insurance policies can prove you with the coverage you need if you or a loved one needs long term care. It will allow you to have enough money for other responsibilities. If you have children, having long term care insurance means that they will not have a financial burden if they hire someone to care for you. The insurance will generally cover:
Adult daycare services
Assisted living facilities
Nursing home care
3. What are the types of long term care insurance?
There are two main types:
Traditional long-term care: This type of insurance ensures that no matter where you receive your care, you will be able to cover at least part of the bill. It is true even if you need a lengthy stay at a care facility. The policy generally starts paying out if you show that you cannot do at least 2 of 6 daily activities, such as dressing, eating, etc., or you suffer from cognitive impairment.
Hybrid life and long-term care: This combination policy allows you to access the money your beneficiaries would have received upon your death to cover any long-term care needs you may have. If you do not need care, your beneficiaries receive the full amount. It is a good option if you do not qualify for the traditional long-term care policy.