Why You Need Long Term Care Insurance Before Your Retirement Savings Vanish

Long-term care insurance is intended to cover the cost of long term care. Long term care is to help those who struggle with basic daily activities such as dressing, washing, walking and eating, and it might also help with tasks like housekeeping and money management. It’s to deal with personal care not medical issues. It isn’t normally covered by health insurance like Medicaid or Medicare.

What does long term care insurance cover?

Long term care insurance can cover a long list of costs. These can include adult day care, assisted living, respite care, home care services, nursing homes, hospices, and home modification costs.

Why should I take out long term care insurance?

If you find yourself in a position where you need long term care, unfortunately it doesn’t come cheap. It does vary widely depending on the type of care you need, but even the most basic services could quite easily mount up to tens of thousands of dollars a year. If you need to pay for this for the rest of your life, it can very quickly become unaffordable, or eat massively into your nest egg that you worked hard all your life for.

Who can take out long term care?

If you are in pretty good health then you will very likely qualify for long term health insurance. Unfortunately those with pre-existing conditions who are likely to need long term care in the future probably won’t be accepted. This is the same for degenerative diseases such as MS or severe mental problems. If you apply for an insurance policy, make sure you disclose all medical information, otherwise your policy could be invalid if you were to make a claim later.