Long-term care insurance, worth it ?

[steve2470]

Yes, I know I need to also consult with a financial advisor on this.

I was thinking of buying it but wow, at my age (61) it's pretty expensive and only for 5 years maximum, at best, from what I've seen.

What do you know about LTC insurance ? Thank you for your help!

Steve

[SWBTATTReg]

1. I've always had it, and pay for it yearly. It's worth the peace of mind, but mine, since I've had..

for many years, is relatively cheap (under $200 yrly and I don't think I have a limit). Good luck to you.

[pnwest]

2. I just placed my mom in a locked dementia

ward, at $5700 per month. Get the insurance. And go to an Elder Law Lawyer, not a financial planner.

[Bob Loblaw]

3. My parents had it

And when they accessed it for my dad it was very helpful. However as the care continued, the premium notices arrived closer and closer to their due date. They were trying to prompt a late payment so they could cancel the policy. I called them out on it and told them if that behavior continued I would turn them in to the state insurance commissioner and it would not go well for them. I reported them anyway but never had any more trouble. I won't say the name of the company only that their name is on a certain Fieldhouse in Indy.

[diddlysquat]

4. My mother had it.

I had to fight tooth and nail to get them to cover her expenses. My state has a great insurance commissioner and i had to contact him to get Genworth to pay. Toward the end they did pay.

Look at it this way: if you get this you will need someone to advocate for you with the insurance company when you are older. You would probably not be able to do it yourself.

[PoindexterOglethorpe]

5. I have it, but it's a paid up policy.

There's a significant death benefit if I never use the long-term care aspect, or if I use less than that dollar amount. The total long term care benefit is more than four times the death benefit. It's monthly maximum benefit amount is $3,214.00. Since I have other income I could afford a somewhat pricey nursing for a period of time.

It only covers nursing home, not assisted living, which is a bit of a shame, but having this makes me feel pretty good about my financial health if I ever do need a nursing home.

Do talk to a financial advisor, and do look very carefully at any policies you are considering. Make sure you get one with a company that's been around for a while and whose name you perhaps recognize.

There's also a surrender value that could be used, were I to feel I needed it.

[PoindexterOglethorpe]

6. I just took a closer look at my long term care policy

and called the company it's with, Lincoln National Life Insurance.

My understanding was wrong. It DOES cover other long term care expenses including adult day, care, home health care, assisted living, hospice services, alternative care services, as well as nursing home care.

To qualify for reimbursement I'd need to be unable to perform 2 of these 6 activities of daily living: eating, dressing, bathing, toileting, transferring, continence and or have severe cognitive impairment, i.e. dementia. I'd need a doctor's note verifying I need help and then bills could be sent directly to the insurance.

While at this point in my life (I'm an incredibly healthy 71 year old) I can't even begin to imagine being unable to feed or dress myself or any of the others listed, it's a huge relief to know that I can get a significant reimbursement of those costs. It makes me feel a whole lot better about the end years of my life.

Oh, and if I use the maximum benefit when I start, it will last six years. Longer, obviously, if I only need to tap it at a lesser amount.

Here's the most important thing: if I never use a penny of it, there's a decent death benefit, significantly more than what I paid for it seven years ago. And even if I use up the entire amount available to pay for the above services, there's a residual death benefit that will be more than enough to have me cremated and hold some kind of memorial service.

So yeah, I'm of the opinion that a long term care policy can be a good thing.