“There was a time when buying long term care insurance was fairly easy and pretty cut and dry. Times have changed for this particular type of insurance and anyone considering buying it would do well to spend some time investigating carriers and coverage levels as well as premiums.”
In the above excerpt it used to be that buying long term care insurance was simple; you paid and companies would trigger your benefits if you were almost dead. No kidding - Congress got involved in regulating LTCi after some policy holders pointed out that bathing was not considered an activity of daily living. What is true is what is written below:Generally speaking, the cost for a nursing home resident today is about $71,000 annually, which works out to around $200 a day. The cost for non-resident, assisted living comes in at around $32,000 a year, or $88 dollars a day. In both cases, that is a lot of money over the course of time.
The major reason people want to buy long term care policies is so they can protect their assets in the event they need to pay for nursing home occupancy, assisted living expenses, or home care expenses. Those who do not have this type of insurance are often forced to liquidate their assets in order to get the care they need. For many people this means selling the home, cashing in on retirement funds, and depleting savings accounts.
On average, if you have more than $300,000 in personal assets, you may want to look into long term care insurance as a means of protecting yourself.
The only real problem is that LTC insurance is complicated and consumers rely on agents and companies (who all make money off of your purchase to advise them). Consumers need to get educated about LTCi and should do so by reading the consumer buying guide written by an ex-agent.The truth is there are fewer companies offering this type of insurance today than there were some years ago. It really pays to understand how to write a plan that serves you before serving the insurance company, the agent or the financial planner (who also gets a cut of what’s being sold you). This is why the ultimate consumer buying guide was written - to teach consumers the inside secrets.
Researching what your options are in long term care insurance will take time, so the sooner you begin the better. You should not sign up for any plan until you have had time to look into several plans or even better read the guide and watched the accompanying videos. (To learn more just visit the guide).
{ 0 comments… add one now }