Benefits of a Long Term Care Insurance Policy
Is long-term care (LTC) insurance really necessary? That is probably a question you are asking yourself. To come up with an answer, let’s break it down. LTC insurance is an insurance coverage that helps pay for costs related to long term care that may not be covered by health insurance, Medicaid, or Medicare. The Department of Health and Human Services (HHS) approximates a private room in a nursing facility to $229. Without long term care coverage, such figures can quickly diminish your funds if you or a loved one needs long-term care.
Who Needs Long Term Care Insurance
Individuals who need long term care coverage are those incapable of performing daily activities such as bathing, dressing, walking, and more. And, age is not a defining factor – 40 percent of the people receiving long term care today are between 18 and 64. Also, according to HHS, nearly 70 percent of people aged 65 need some form of long-term care.
How Does It Work?
To start with, you have to buy a long term insurance. You can implement a LTC policy through your employer which lowers the premiums or opt for an individual plan. You then select the type of coverage you want. The insurer may request medical records and once approved and issued with the policy, you can begin paying premiums. When time comes and you need care, you can make a claim to the insurer.
Types of Long-term Care Covers
Care insurance includes skilled care, which is a continuous 24/7 care that could be ordered by a physician after medical treatment. It also includes intermediate care such as intermittent nursing care as well as custodial care to assist with daily living activities.
Long-term care will help pay for care not related to general sickness covered by health insurance. It will also help you keep your finances in check if you or a loved one needs long-term care.