What would you do if you suddenly found yourself needing help with everyday tasks, like dressing and bathing?
If you or a loved one has experienced a significant change in health, you could be facing the prospect of long-term care and along with it significant costs.
Long-term care insurance offers a way to afford often costly in-home care services. But there are still many questions about this form of insurance. This guide will help you understand important aspects of long-term care insurance and help you decide whether it’s right for you.
What is Long-Term Care Insurance
On-going care costs can add up quickly. Long-term care insurance offsets the costs of in-home care from nurses, home health aids or therapists.
Long-Term Care Insurance Can Be Expensive
In 2016, Pennsylvania insurers tried to hit their customers with 130 percent spikes in their long-term care insurance premiums. The state responded by capping the amount a provider could raise its premiums to 20 percent. Regardless, the rate hikes were a major hit to seniors’ budgets.
When to Buy a Policy?
The American Association of Long-Term Care Insurance says most people start planning between ages 52 and 64. As with most forms of medical-related insurance, starting earlier could mean lower premiums.
Consider Other Options
Some insurance companies offer short-term care insurance, which is often limited to one year. These plans can be able to older seniors who otherwise might not be eligible for long-term coverage.
Some life insurance providers are also offering long-term care options that pay out a percentage of their death benefit over a period of time.
Health savings accounts can offset the costs of long-term care by letting people set aside money for medical-related expenses on a tax-free basis. These accounts are sometimes called health IRAs.
It’s always a good idea to talk to your financial advisor and family about what plan works best for you. Long-term care insurance can be a good option, but for those wary of costs, looking for other ways to pay for care might be a better choice.
If you’re looking for a way to keep your independence and have the peace of mind of knowing help is always near, get EasyCall, your personal medical response system.
With EasyCall you can create a custom response plan. With one push of the button, our highly trained dispatchers will assist you in getting the help you need right away.