The Cost of Long-Term Care Insurance

The Cost Of Long-Term Care Insurance

If your health may be worsening and you think you may need to move into a nursing home, assisted living facility or receive in-home health care that is not covered by your health insurance policy, then you may need a long-term care insurance policy and it may be too late to qualify. One of your largest concerns might be the cost of long-term care insurance.

The benefit of long-term care insurance stretches a long way. It will cover home care, assisted living care, adult daycare, respite care, hospice care, nursing home care and care in Alzheimer’s facilities. Long-Term Care Insurance is all about creating more options. Healthcare is expensive, and maybe individuals do not like relying on their children or family to support them. With a long-term care insurance policy there can be no out-of-pocket expenses. Without the policy, the out-of-pocket costs can dwindle out a savings account very quickly.

The cost for long-term care insurance can vary depending on the kind of policy. Tax qualified policies are the most common policies offer, and they require that the person need at least 90 days of care and during this time be unable to perform two or more daily activities without substantial assistance. Benefits from this policy are non-taxable.

Non-tax qualified or traditional long-term care insurance requires that the patient’s own doctor states that the patient needs care for any medical reason for the policy to pay. The restriction for daily activity limitations is often only one for non-tax qualified policies, and the inability to walk counts as one of these daily activities. These policies are becoming less common because consumers want to be eligible for the tax deductions available when buying a tax-qualified policy.

Long-term care insurance rates are dependent on a number of factors including the person’s age, the daily or monthly benefit, how long the benefit pay, the elimination period, the inflation protection, and the health rating. Many insurance companies provide a couple discount, and that is not limited to spouses, but to two people who share basic living expenses.

Insurance companies offer premium payment plans varying from annually, semi-annually, quarterly, and monthly. To calculate the average cost of a long-term care insurance policy, one will need to contact their local insurance agent to see what their specific needs are. The pricing criteria will vary from policy to policy.

At the moment premiums for woman are a bargain because they have longer and more illnesses. This premium advantage has changed (2014) but it still seems to favor females.

The average age of a long-term care insurance policyholder continues to drop, having dropped from 68 years old in 1990 to 61 years old in 2005. If you need long-term care, then the cost of the premiums will be much lower than the out-of-pocket costs you will likely have without a policy.

Other Enhanced Insurance articles related to Long-Term Care Insurance:

Alzheimer’s, Dementia, and Long-Term Care Insurance

Why Didn’t My Parents Buy Long-Term Care Insurance

Is There a Benefit to Purchasing a Limited Pay Long-Term Care Policy

Do I Need Long-Term Care Insurance

Long-Term Care Rider

Long-Term Care Insurance (With Video)

Critical Illness Insurance

Group Long-Term Care Insurance

Medicare and Medicaid in Regard to Long-Term Care

Types of Long-Term Care Insurance

Enhanced Insurance is not written by attorneys. If you’re looking for legal advice, you need to contact a lawyer. Further, insurance practices and forms change constantly and are varied from state to state. For definitive answers in your area, contact a local agent.

While the majority of people want an agent involved in their purchase of insurance, many people want to see if they can save money by buying direct from the insurance company. Others want to try a direct quote to make sure the premium they’re now paying through their local agent is fair. If you want a quote for your coverage, click on the competitive quote button on the right side of this page.