Long-Term Care Insurance
Rebecca Bloomfield, partner at Jerry S. Pearlstein Insurance Ltd., holds a national Certification in Long-Term Care (CLTC). Her mother, who requires 24/7 care lives with her. Professionally and personally, Rebecca, understands how to get the best Long-term Care insurance to fit your needs.
“Whether you are caring for a loved one or are concerned that you will need care for yourself, the emotional and financial costs can be life-altering. It’s critical to be prepared.”
Long-term = beyond 100 days
Care= help because health or mental impairment cause an inability to do at least two of the Activities of Daily Living.
Underlying medical issues may be addressed in a hospital. The above issues of daily living are addressed through a Skilled Nursing Facility, Assisted Living Facility, Home Care, Adult Day Care Center.
The cost to provide non-medical care in-home is $60,000 to $80,000 annually. Non-medical care in a facility can be well over $100,000.
Where will the money come to pay for long-term care?
Medicare is health insurance for most US citizens over the age of 65. Medicare does not pay for Assisted Living, Adult Day Care Centers, In-home care, or transportation services.
Medicare will pay for hospice care in the case of a terminal diagnosis to the end of life.
The care is “palliative”, it is not meant to treat the condition, it is meant to keep the patient comfortable through the passing. Care may be in a facility or in home.
Granting of benefits from this state/federal program is based on medical criteria certified by a doctor and meeting strict financial requirements based on the income and asset holdings of everyone living in the household. There is a 5-year look-back from the time of application confirming eligibility and transfer of assets.
Since Medicaid payment is about 72% of market, not all long-term care providers will take Medicaid recipients.
The VA offers health care to persons with military service related injuries within Priority Levels based on the percentage of disability the injury causes.VA Nursing Home is available for person’s whose service related injury causes 70% disability or more. Aid and Assistance Pensions are available to those who have served and their spouses based on economic need and regardless of service related injury. The VA suggests contacting the Social Work Department at the nearest VA facility for information.
The need for care longer than 100 days can occur at any time in life due to illness or injury. The cost is enormous financially and emotionally. No person, young or old, wants to have their spouse or child give up their life to nurse them. No one wants to see their spouse’s or children’s money exhausted for their care. Long-term Care: Who Pays for What?
Long-Term Care insurance provides the money you need to be in charge of your care.
An individual pays for the insurance (premiums) based on age, health, family history and the amount of money (dividends), the Long-term Care insurance makes available (benefits).
Long-Term Care insurance policies are not standardized. Some are freestanding. You pay premiums whether you ever use the insurance or not. Some are part of a Whole Life insurance policy. If you don’t use the Long-term Care benefit, the Life Insurance benefits still exist.
Free-standing Long-Term Care Insurance policies use five different methods of payment
Long-Term Care insurance that is part of a Whole Life Insurance policy pays up to 90% of your death benefit to you. When you qualify for long-term care, you may use the money for whatever care you determine you need.
Because Long-term Care insurance premiums are based on your age and health, the younger and healthier you are, the more insurance you will get for the premium you pay.
Today’s Whole Life insurance policies make it easy get protection, world-class savings and liquidity during your lifetime while knowing that the funds for long-term care will be there should you need them. Check out 15 for Life .
If you are single, believe you will be the surviving spouse or that your family will be scattered, Long-Term Care Insurance is an essential investment in yourself.
Online quoting for long-term care insurance is rarely accurate. There are many variables involved in getting the best plan for you. We are experts in Long-Term Care planning and insurance. Let us help you design a plan that meets your needs with a conversation that is free and without obligation. Call us to begin: 847.362.8888.