Long Term Care Insurance (LTC)
According to a survey by Sun Life Financial (SLF) it was estimated that in the US at least 60% of people over age 65 will require some long-term care services during their lives. The survey also found that 84% do not feel financially prepared for a long-term care situation; although just 36% of those surveyed believed that they would need this type of insurance coverage. There is a major disconnect between people’s need for LTC and the preparation for that need. Long Term Care insurance can provide for personal and custodial care for an extended period of time. In order to activate this coverage an individual would need assistance with at least two activities of daily living (ADL’s). There are six ADL’s which include: bathing, dressing, eating, transferring, toileting, and continence. A common misperception misconception of long-term care is that it is the same thing as nursing home care. While care may be received at a nursing home, it can also be used at an assisted living facility, adult day care, with respite services or for home-based care. Medicare and private health insurance programs do not pay for the majority of long-term care services that most people eventually need. LTC is a tool that can help preserve and protect financial assets, provide flexibility to choose the type of care, offer the ability to choose where care is received, help to ensure high-quality care, and provide financial and emotional support for the family.
Informational purposes only.