Insurance Long Term Care: 4 Critical Facts You Need to Know

Long-term care insurance is a valuable investment that can help you and your loved ones financially and emotionally. Here are four critical facts you need to know about long-term care insurance:

1. The cost of long-term care is rising rapidly. According to the Genworth 2020 Cost of Care Survey, the median annual cost of a private nursing home room is $108,405. This is a 5.2% increase from 2019. The median annual cost of a semi-private nursing home room is $93,075, and the median annual cost of an assisted living facility is $51,600.

2. Most people will need long-term care at some point in their lives. According to the Department of Health and Human Services, 70% of people over the age of 65 will need long-term care. Of those, 20% will need care for more than five years.

3. Long-term care insurance can help you pay for the cost of care. Long-term care insurance can help you pay for the cost of care in a nursing home, assisted living facility, or in your home. It can also help you pay for the cost of home modifications, such as ramps and grab bars.

4. There are different types of long-term care insurance policies available. There are three main types of long-term care insurance policies: traditional, hybrid, and asset-based. Traditional policies provide a fixed amount of coverage for a specified period of time. Hybrid policies combine traditional coverage with a life insurance policy. Asset-based policies provide coverage that is based on the value of your assets.

5. You should shop around for the best long-term care insurance policy. There are many different long-term care insurance companies available, so it is important to shop around to find the best policy for your needs. Be sure to compare the coverage, premiums, and customer service of different companies.

6. You should buy long-term care insurance sooner rather than later. The younger you are when you buy long-term care insurance policy, the lower your premiums will be. Premiums for long-term care insurance increase as you get older.

7. Long-term care insurance can help you protect your assets. If you have to pay for long-term care out of pocket, it could deplete your savings and assets. Long-term care insurance can help you protect your assets from the high cost of care.

8. Long-term care insurance can give you peace of mind. Knowing that you have long-term care insurance can give you peace of mind. You will know that you will be able to afford the cost of care if you need it.

9. Long-term care insurance is a valuable investment. Long-term care insurance is a valuable investment that can protect you and your loved ones from the high cost of care. If you are considering purchasing long-term care insurance, be sure to shop around and compare the policies of different companies.

10. Long-term care insurance can help you maintain your independence. If you need long-term care, you may be able to maintain your independence by receiving care in your home. Long-term care insurance can help you pay for the cost of home modifications, such as ramps and grab bars, that can make it easier for you to live independently.

Conclusion

Long-term care insurance is a valuable investment that can help you protect yourself and your loved ones from the high cost of care. If you are considering purchasing long-term care insurance, be sure to shop around and compare the policies of different companies.