What Is Long-Term Care Insurance?
Is Long-Term Care Insurance Right for You?
If you become chronically ill because of a cognitive impairment, or because you’re unable to perform at least two activities of daily living without substantial assistance, long-term care insurance could help pay for the care you need. Depending on the level of care required, it may be provided in a nursing home, an alternate care facility, or even at your home.
In addition to helping pay the costs of long-term care, this type of insurance may help to provide these benefits:
- Protect your savings and other assets
- Preserve your independence
- Exercise your own choices
- Avoid government dependence
- Maintain a better quality of life
The Costs And Risks Of Long-Term Care
- A nursing home stay costs an average of $87,000 per year according to a recent national study, and this is just one of many costs associated with long-term care.
- If you’re unable to pay for long-term care when you or a loved one needs it, you may need to reduce your assets in order to become eligible for Medicaid to pay the costs of care.
- 70% of those over 65 will need long-term care at some point in their lives.
- 40% of all adults in the United States require long-term care before they reach the age of 65.