Long-Term Care Insurance Made Simple

Long-Term Care Insurance Made Simple

by Leslie Freeland, August 12, 2015

Understanding Long-Term Care

Do you remember those 5,000-piece jigsaw puzzles you used to have when you were a kid? You know, the ones that took you forever to solve? In a way, finding easy-to-understand information about Long-Term Care Insurance feels like a puzzle. It is often difficult for you to get the facts you need to make an informed decision.

At Asurea, we think there’s a simpler way to learn about Long-Term Care Insurance. Here, you’ll get the basics to understand what it is and why you should consider this important coverage.

What is Long-Term Care Insurance?

The word “long-term care” refers to the services received by people with chronic illnesses, disabilities, and injuries who need daily care for an indefinite amount of time.

Long-Term Care Insurance is designed to cover the costs associated with these types of services, including most “activities of daily living” such as meal preparation, eating, bathing, walking, using the bathroom and getting dressed.

Covers the uncovered

Most people are unaware that many activities of daily living are considered “extended care,” and these costs will NOT be covered under your employer-based healthcare plan.

If you’re age 65 or over and eligible for Medicare or Medicaid, long-term care services are generally very limited and often require having to meet certain eligibility requirements to qualify for the limited benefits that they do offer.

Thankfully, Long-Term Care Insurance can “fill the gap” for care services that are not covered by health insurance, Medicare, or Medicaid. [1]

Who needs it?

An estimated 12 million Americans required long-term care in 2007.[2] And while it’s true that we often have more health-related issues as we age, Long-Term Care Insurance isn’t just for the elderly. In fact, 37 percent of people age 64 and younger used some form of long-term care.[3]

For example, if you were involved in an accident that required you to have continual assistance with basic everyday activities, would your spouse or partner be able to stay at home and take care of you?

How would you pay for these costs when your healthcare policy won’t?

Most people are unaware that many activities of daily living are considered “extended care,” and these costs will NOT be covered under your employer-based healthcare plan.

Don’t drain your savings!

Expenses associated with long-term care can be very costly and can deplete a lifetime of savings within a few years. Long-Term Care Insurance helps protect you financially by paying for services, such as in-home care, assisted living care, adult daycare, respite and hospice care, nursing home expenses and Alzheimer’s facilities.[4]

Customized for you

Much like a life insurance policy – your age, health, and the benefits you select are all factors in how much you’ll pay for Long-Term Care Insurance. By customizing your policy, you can meet your needs while controlling costs. For example, you can select the number of years that you want coverage (generally anywhere from two years and up), the dollar amount of coverage per day ($250, $350, etc.), and the percent of inflation protection you want.

Protects you from cost-of-living increases

Since healthcare costs are likely to increase over time, many Long-Term Care policies also include built-in inflation protection to ensure that your benefits keep up with the costs associated with long-term care services when you need them.

Inflation protection is a critical part of Long-Term Care Insurance because you may not need to file a claim until decades after purchasing your policy. So it’s quite possible that the $250 a day coverage you chose 10 years ago won’t be nearly enough to cover the cost of long-term care services at today’s prices.

Asurea Simple Solution Tip: Like most other types of insurance, Long-Term Care Insurance cost is based on your age and health. For example, purchasing a policy when you are 50 years old will probably cost less than purchasing the same policy at 70 years old, so buy your policy when you are younger.

At Asurea, we take a simpler approach to getting the insurance you need. With access to over 40 insurance carriers, you’ll have a variety of plan options to choose from with the most coverage at the lowest price. Contact us today to learn more about Long-Term Care Insurance and how it will protect you and your family financially in the future.

[1] https://www.caring.com/questions/medicaid-or-medicare-long-term-care
[2] Center for American Progress (2007) Caring about Long-Term Care. Retrieved (January 2015) http://cdn.americanprogress.org/wpcontent/uploads/issues/2007/07/pdf/caregiving_report.pdf
[3]  Rogers, S., & H. Komisar. Who needs long-term care? Fact Sheet, Long-Term Care Financing Project. Washington, DC: Georgetown University Press, 2003
[4] https://www.healthcare.gov/glossary/long-term-care/

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Asurea Insurance Services is the nation’s premier Insurance Marketing Organization that finds the perfect policy for your needs and budget. Asurea offers Mortgage Protection, Medicare Supplements, Final Expense, Retirement Solutions and Permanent Life Insurance.

Leslie Freeland

Leslie Freeland

Find her at LinkedIn
After obtaining her Master’s Degree from CSU, Sacramento, Leslie joined Asurea as the Marketing Communications Coordinator in February 2015. Since then, she has been working closely with insurance professionals to educate the public on the importance of life insurance and protect the public from common scams to be aware of, insurance and otherwise.
Leslie Freeland
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