Long-Term Care Insurance
Provides an Alternative to Relying on Family
Get Stay-At-Home Benefits
Have a Plan in Place to Afford a Facility if Needed
Have a Care Coordinator Available When Things Happen
One Day You May Need a Caregiver
The average nursing home costs $85,048 per year.
The average assisted-living facility costs $4,245 per month.
And Medicare doesn’t pay for much of it.
LTC insurance is the answer.
When you’re considering long-term care insurance, you have a lot of options. Most policies provide similar coverage for long-term care services you receive at home, in an assisted living facility or nursing home.
But in addition to these similarities, there are some significant differences. That’s why it’s so important to make sure the policy you select works the way you want and need it to work when it’s time to make a claim.
Speaking From Personal Experience
Plan Ahead. Long-Term Care is Expensive!
The following is from Dan Rhoads’ personal experience with a family member in a nursing home (2019):
My grandmother has been living alone for close to 20 years now, about a 5-minute drive from me. She’s approaching 90 now, and can no longer manage to live alone. She resisted moving into a nursing home for very long, but finally there was no other way.
The cost was a bit shocking. We were told by the facility that it would cost somewhere in the vicinity of $13,000 a month. Medicare would cover no more than 100 days, and then she would have to pay out of pocket. That will burn through her savings very quickly!
Medicaid will pay for it, thankfully. But only if all of her assets – everything she owns – is less than $20,000. So we’re bracing for having to liquidate her savings and sell her home within 6-9 months, to be able to spend down and qualify for Medicaid.
It’s not that bad. However, many Americans have a good retirement nest egg. For those people, their nest egg is at risk of being spent away quickly, if they don’t have Long-Term Care insurance in place.
So if I can advise any family who successfully prepared for retirement, it would be to tell them to get Long-Term Care insurance!