Anyone have or know about Long-Term care insurance?

[elleng]

I'm medicare eligible, have good health insurance in addition, due to estranged husband's Fed gov employment, but a friend just had a 'mini-stroke,' I'm concerned about his future care (I don't want to have to be IT,) and concerned about my own. (66 now, pretty healthy, Dad is 97 + in a good residential place near my brother; costs,tho.)

Have some investments, but would like to have a plan so as not to burden my children; we don't and probably won't live very close to one-another.

Thoughts?

Thanks

[BigDemVoter]

1. Long Term Disability Insurance

I have mine through work. . . It's kind of expensive, as it is deducted from my paycheck biweekly ($46 biweekly, I think?). It works like this: If I'm out on medical leave for 6 months or longer, I qualify. I would receive 66 2/3% of my current salary until the age of 65. After 65, I'm not quite sure how it works? Were you talking about this (long-term disability), or do you mean long-term care insurance as in insurance for a nursing home if you need one? Hope this helps.

[elleng]

5. Thanks.

Not thinking about 'disability,' (I'm retired and have Fed pension, and little SS, so 'income' guaranteed,) but 'care,' as in nursing home or some sort of facility.

Thanks for helping me tailor my thoughts.

[The_Casual_Observer]

2. I would check with AARP. I know that every year I get a

letter from some agency in CA about this, but I haven't done anything about it. It costs more to start it as you get older for sure.

[Viva_La_Revolution]

3. Gram and her husband both had it

and it was ENORMOUSLY helpful.

[DrDan]

4. yes - my wife and I have it

There have been some decent changes recently to give more flexibility in how you can spend your funds - if they become necessary. For example, the money can be applied to in-home care in some policies. You really have quite a few choices now - but there are only a couple of legitimate players.

pm me if you would like some more details. We looked at several plans before committing to one.

[Ruby the Liberal]

6. The earlier you apply, the cheaper it will be as all LTC requires

a medical check.

Know that Medicare does not cover LT care and neither do Medicare supplimentals. Only Medicaid and only if you are in an income category that qualifies.

You can always adjust the plan once you are accepted (raise the daily limit, deductible, etc...) so be sure and choose a plan that is flexible with that (not all are).

It is a critically important aspect for Seniors. While you may pass without ever using it, Assisted Living is VERY costly. Better to have it and not need it than the alternative.

[elleng]

7. Thanks.

Guess I'll start opening some of the mailings I receive from AARP now!

[dtexdem]

8. Check to see what the policies cover.

Do they cover what you might be most likely to need; and if so, do they cover it well enough and long enough. Then figure out whether what they cover will make paying the premiums seem worthwhile.

A big problem is that LTC insurance is treated separately from other insurance, and that those who do enroll tend to be among those at the highest risk. So benefits are most often inadequate and costs very high.

[demguy72340]

11. great post

[bhcodem]

9. Retired, but still licensed in Iowa insurance agent here.

Long term care insurance is great if you can afford it. It is most helpful for those of us in the middle. Low income folks get help through Medicaid (at least for now.) and people with a lot of net worth can usuallly afford nursing care in a home or at home.

Premiums are based on what coverages you choose. You select a daily benefit, elimination period where you pay yourself, and how many years you want the policy to pay. There are also other options like cost of living increases. For instance you could select $150 a day after the first 2 months that you pay yourself and pays for 3 years. The premium is based on the combination you select. Ideally, the younger you start a policy, the lower the premium as well. I started mine the day I turned 60. Got mine through AARP and it is with Met Life...mine is the coverage described without any automatice raises in coverage and the cost is $133.60 a month. Most places that sell life and health insurance will have plans available and if the agent is any good, they will help you determine what coverages and premiums work best for your situation. You don't have to spend down your assets until you run out of benefits and go for Medicaid at that time! By the way lifetime benefits are available but much more costly.

[elleng]

10. Thanks for the professional info, bhc!