We’re on the cusp of the holiday season, when many of us are looking forward to spending time with friends and family. Now is also a great time to talk about long term care.
November is Long Term Care Awareness Month, partially because so few people like to talk about – or think about – what they’re going to need as they get older. These important conversations can go a long way towards making sure you’re prepared financially and emotionally for each other’s long term care needs.
What is Long Term Care?
Long term care refers to extended periods of support for what are known as “Activities of Daily Living” – tasks that a person needs to take care of themselves. These include tasks like preparing food, cleaning, getting dressed, moving, using the toilet, remembering tasks, and other needs that may arise as we get older and have a harder time taking care of ourselves.
Long term care can take place at home, with a home nurse, or in a professional setting like a nursing home. But no matter where it takes place, it can be expensive. The cost of long term care has increased every year, and total monthly costs can often be >$5000 per month or more.
Almost 70% of all people will need long term care, and yet very few have talked about it or prepared for it.
About Long Term Care Insurance
Long term care is expensive, and while it may be a medical need, it is not covered by health insurance. Neither does Medicare. Only Medicaid covers it, and only some forms of care.
In addition, in order to qualify for Medicaid, you have to have exhausted all of your retirement savings and assets, which means nothing to pass on to your heirs and nothing left for yourself. If you need long term care, it is going to be expensive and it is going to require using a lot of your assets to pay for it.
That is another topic you will want to discuss with your family, especially with regards to long term care insurance. Long term care insurance (LTC Insurance) is one of the only ways to pay for long term care without using your assets. It is typically obtained around 50 years old, but can be obtained any time after, and it covers the costs of long term care to help reduce the burden on you and your family.
For long term care awareness month, it’s time to talk about the benefits of long term care insurance. Reach out to Long Term Care Resources – Pacific Agency today to talk about the benefits and discuss options for yourself and your family.