Long Term Care Insurance Policies
Long Term Care insurance offers the opportunity to pay for the cost of long term insurance beyond a specified date, which regular health insurance, Medicare and Medicaid usually don’t cover. As of 2014, approximately only 24 percent of employers offer this as a workplace benefit, a drop of seven percent in just the past four years.
The care insurance is for individuals who are unable to care for themselves or perform daily living activities, such as Alzheimer’s patients. There is no specific age bracket for this long term insurance, with an estimated 40 percent of those receiving this type care under the age of 65. Purchasing long term care insurance requires the payment of monthly or annual premiums that must begin before a condition is diagnosed. After you satisfy a number of conditions that confirms the need for care insurance, benefits can be claimed. To protect against the erosion of coverage due to inflation, you should make sure that an inflation protection option is included in the coverage.
Three types of coverage are available in this area:
This coverage allows you to take full advantage of the benefits you receive, regardless of what expenses you had in a month or year. You can use the remaining amount for such related things as savings or to pay bills.
This is a more standard type of coverage that strictly pays whatever expenses are incurred. If your care ends up costing less, the remaining amount stays with the insurance provider.
This type of coverage is when the insurance company and state combine forces that offer immediate Medicaid benefits for policy holders whose benefits have run out. Liquidation of assets is not required to qualify for this program.
Some of the major benefits that come from this insurance are the protection of your assets from costly care that is needed, as well as affording you the option of what care you want to receive.