What is long term care insurance?

It’s easy to take our ability to perform day-to-day activities for granted. But this can change, especially as we age. This is why it’s so important to consider your future healthcare needs as you build and review your retirement savings and income plans.

Long term care insurance provides a way to maintain your lifestyle and protect your financial security if one day medical problems prevent you from performing certain activities of daily living. Long term care insurance provides you with the resources to remain independent should you require the services of a long term care facility or professional services at home.

Your benefit can be payable for life. This benefit is triggered if you experience a cognitive impairment, or the inability to perform at least two of the functions of daily living; such as bathing, dressing, eating, transferring, toileting, or continence. Benefits can be used to pay for facility care, home care, or both and can also pay for adult day care, durable medical equipment, hospice care, or respite care.

More importantly, long term care insurance preserves the dignity, independence and financial well being of your family.
Long term care insurance will protect you and your assets so there’s something left for your family.

Generally speaking, there are two types of long-term care insurance plans:

• One reimburses you for eligible expenses that are outlined in your plan (such as homemaking or private nursing services) that you may incur on a given day, up to a pre-determined maximum.
• The other is an income style plan, which offers a pre-determined monthly benefit amount.

With an income-style plan, the regular benefit you receive (e.g., monthly, weekly) can be spent any way you choose. You can use it to help finance your care in a residential facility, for in-home care services or to pay someone in your own family to look after you.