Managing Long-Term Care
The Golden Years should be a time to relax after a lifetime of hard work. Yet as medical costs climb and life expectancies increase, many seniors are finding themselves in scary and precarious situations. Public and private insurance policies often help cover the costs of surgeries, doctor visits, medication and nursing care at hospitals. Many seniors have health problems that extend beyond the hospital -- and often these costs fall between the cracks of standard insurance policies. These people need long-term care. Problem is, they can't afford it.
Long-term care encompasses several medical and non-medical services for patients who have disabilities or chronic illnesses. In-home service is a long-term care solution for seniors who require assistance in their homes. Adult day care and assisted living communities also fall under the umbrella of long-term care. So do nursing homes, where seniors with significant medical needs have access to around-the-clock nursing care. Long-term care is extremely beneficial, but it is also very expensive. Residents of nursing homes can expect to pay up to $50,000 per year. State and federal insurance plans usually don't help pay for long-term care until seniors have already spent most of their life savings.
That's where long-term care insurance comes into play. For roughly $2,500 a year, seniors who are in good health can buy special insurance policies to cover their long-term care needs. Some policies cover the costs of in-home services and nursing home care, while less-expensive plans cover one or the other. These insurance policies are not cheap, but they beat paying out-of-pocket for long-term care.
There are several factors to consider when shopping for long-term care insurance. First off, find out how much money each provider would contribute to your long-term care costs -- this is called the daily or monthly benefit. Also evaluate the length of each benefit period. Some policies will cover your long-term care costs for a few years, while others will cover your costs for a lifetime. Good long-term insurance plans will include built-in protection against inflating healthcare prices, and some policies will even continue providing benefits if you're suddenly unable to pay your premiums. Make sure the policy you choose has a lifetime deductible and covers any health conditions you already have.
Take your time when shopping for a long-term care insurance policy. You'll have many choices, and the decision you make could pay off immensely at a time when you need help most.
