Things You Don’t Know About Long-Term Care Insurance

Although there are a couple of medical coverage insurance packages, most of these do not cover long-term care. It is because of this that we have long-term care insurance. This insurance policy helps to take care of the costs associated with long-term care. People who require long-term care are not necessarily sick. However, they are not able to perform the basic activities of daily living such as eating, bathing, walking among others.

When deciding whether or not to get long-term insurance coverage, it is important to know a couple of things.

First, insurers tend to give long-term care insurance to individuals who are in relatively good health. It is, therefore, advisable for you to get insurance coverage as early as you can. Most people usually get long-term care insurance coverage between the ages 52-60. At this age, you qualify for the long-term care insurance coverage and yet you are still in relatively good condition.

The amount of money that a long-term care insurance coverage will cost you depends on your age and health at the time of application. The kind f coverage that you would like will also affect the cost. However, some insurers will give you discounts which will make the insurance policy much more affordable. For example, an insurance company may offer you a discount if both you and your spouse apply for coverage.

Typically, long-term care insurance coverage falls under two categories:

  • Traditional policies- These are policies where premiums are paid continuously. If they are not used, however, the insured does not get a return. Some policies have a ‘return of premium’ clause. This means that a beneficiary will get a death benefit in case the insured dies while the benefits are less than the premiums paid.
  • Combination or hybrid policies- These are policies that are a combination of a life insurance policy, or an annuity with a long-term insurance coverage. Whole life insurance coverages are getting more popular nowadays and can be used to replace the long-term care insurance coverage.

There’s a common misconception that for you to enjoy the benefits of a long-term care insurance coverage, one has to be living in a nursing home. These policies can still pay benefits even to individuals still living at home as long as they cannot basic tasks on their own.

If you are still not decided or would like to know more about long-term care insurance coverage, contact us. One of our agents will get back to you and assist you with whatever you would want to know.

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