Long term care insurance is one of the only financial tools that we have to protect your assets should you ever need any type of extended, long term care. It covers what health insurance, Medicare, and other forms of insurance won’t: nursing homes, home nurses, and other living facilities that a person may require for an extended period of time as they get older.
Within long term care, however, are specific policy adjustments, upgrades, and more that you may want to consider before you choose your policy. Every single policy and every single situation is different. Working with LTC insurance specialists, like our team here at Long Term Care Resources Pacific Agency (LTCR Pacific), we can make sure that you’re getting the right policy for your future needs. Part of that involves looking into possible options and riders available with your policy, such as:
1. Shared Care Rider
The shared care rider allows couples to share their long-term care insurance benefits. If one partner exhausts their benefits, they can access the other partner’s remaining benefits. This option provides greater flexibility and peace of mind for couples planning their long-term care needs together.
2. Inflation Protection Rider
The inflation protection rider adjusts the benefit amount to keep up with the rising cost of care. This is particularly important as healthcare costs tend to increase over time. There are different types of inflation protection, including simple and compound, which provide varying levels of benefit increases.
3. Non-Forfeiture Benefit Rider
The non-forfeiture benefit rider ensures that you retain some benefits even if you stop paying premiums after a certain period. This rider provides a reduced benefit amount based on the premiums paid, offering a safety net if you can no longer afford your policy.
4. Return of Premium Rider
The return of premium rider refunds premiums paid if you do not use the policy benefits, either because you did not need long-term care or passed away before utilizing the coverage. This rider ensures that your investment in long-term care insurance is not lost.
5. Paid-Up Survivorship Rider
The paid-up survivorship rider waives future premiums if one spouse passes away after a specified number of years, making the surviving spouse’s policy paid-up and maintaining their coverage without additional payments. This is particularly beneficial for couples looking for continuous protection.
6. Waiver of Premium Benefit Rider
One challenge for those that are disabled and in long term care is that they may not be able to work or generate income, which then makes it difficult to pay premiums. Some policies allow for a waiver of premium benefit rider, which makes it so that they no longer have to pay their monthly premium in the event they cannot work.
Maximizing Long-Term Care Insurance Benefits
Incorporating these riders and options into your long-term care insurance policy can significantly enhance your coverage and provide tailored benefits to meet your specific needs. Understanding these options allows you to create a more robust and flexible policy, ensuring you have the protection and support you need for future care requirements. Consult with an insurance professional to explore these and other options that best fit your long-term care planning.