Long Term Care
Why Chronic Illness protection a.k.a. Long-Term-Care
What is Long-Term Care?
Provides assistance for chronic care illness when someone cannot perform 2 of the 6 activities of daily living:
► Transferring
► Continence
► Toileting
► Bathing
► Dressing
► Eating and
► Alzheimer’s Disease/Dementia
Considerations:
► Total Coverage Needs – Amount of Assets You Want To Protect
► Benefit Period
► Inflation Protection
► Cost
The Goal Is to keep you out of Nursing Homes (yes, nursing home care is included)
Cost: $4000/mo to $10,000 per month inflating at 3%-5% per year.
Who is going to pay for it? Medicaid, LTC protection, or You. Medicare does not cover LTC beyond 100 days of a hospital stay.
Do you want to be a burden to your family?
What about your dignity?
LTC coverage does not have to be expensive
If you haven’t allocated any of your money for Long Term Care, you have essentially allocated all of your money.
IT’S ALL ABOUT PROTECTING YOUR MONEY The best approach is one of the Hybrid options:If you need the help, you are paying for it at a fraction of the full cost due to leveraging your money. If you don’t need the help, your money invested plus a little interest will be available to your beneficiaries.
For Husbands who don’t think they need this
You are not buying the LTCi on yourself for your benefit. When you need care, your spouse is absolutely going to do everything she can to take care of you. The reason for buying the LTCi on you is to make her job easier, to be able to hire someone to take part of the burden off her, particularly the heavy lifting. Who will take care of you if she is not able to?
Males and Females have different Attitudes and Needs Regarding LTC
Males – Superman Attitude – I am healthy and don’t need to spend a lot of money in case I get sick. If needed, my spouse and family will be there to help.
Females – Females are more prone to needing assistance than males later in life especially since we live longer and are more apt to be living alone without help when needed. Statistics show that many more women need LTC assistance than men.