More on Long Term Care

Internet sites like Wikipedia and AARP can provide you with lots of insight on long term care insurance. Here are some of the key points AARP lists:

Long-term care insurance typically covers the cost of:

1. Help in your home with daily activities like bathing, dressing, eating and cleaning.
2. Community programs, such as adult day care.
3. Assisted living services that are provided in a special residential setting other than your own home. These services may include meals, health monitoring, and help with daily activities.
4. Visiting nurses.
5. Care in a nursing home.

6. The best time to buy long-term care insurance may be middle-age. It's the time when you have the highest likelihood of being eligible for a policy and, just as important, when premiums costs might be lower.

Make sure that your long-term care policy:

1. Clearly explains when you will be eligible for coverage and how your eligibility will be determined.
2. Does not require that you spend time in a hospital before receiving benefits.
3. Will be renewed as long as you pay the premiums.
4. Lets you stop paying premiums once you begin receiving benefits.
5. Has one deductible for the life of the policy.
6. Automatically covers pre-existing conditions if you disclosed them when you applied.
7. Offers choices for inflation protection including an automatic increase in your benefit on an annual basis or a guaranteed right to increase your benefit.
8. Allows you to downgrade your coverage if you cannot afford the premiums.
9. Includes coverage for dementia.
10. Provides at least one year of nursing care and home health care coverage.
11. Allows the right to cancel the policy for any reason with 30 days of purchase and receive a refund.

Back to Retirement