Many people are now buying long-term care so that they can have their own insurance and avoid government spend down requirements and reimbursement. People under 40 are projected to have an average $1.2 million dollar expense for these programs.
We had hospice care for my dad through his insurance. A nurse came every day and a careworker came 3 times a week.
“Many people are now buying long-term care so that they can have their own insurance and avoid government spend down requirements and reimbursement. People under 40 are projected to have an average $1.2 million dollar expense for these programs.”
My mother had Long Term Care insurance for 25 years before her death, and never could use a dime of it. The premiums kept going up as she spent $2,500/month on an assisted living facility, but because they weren’t an accredited “nursing home”, her policy wouldn’t pay. For 5 years, she was suffering from stroke related disabilities and Alzheimer’s. The last couple of years she was bed ridden, and then on Hospice care for 5 months, all the time paying for her LTC policy and getting nothing in return.
Obviously, I DON’T recommend LTC policies! A good financial planner can help a family shelter their assets, usually by moving it into their kids names upon retirement. Then medicaid pays for nursing home care and in some cases ALF care.