Long-term care insurance helps seniors cover the costs of assistance with the activities of daily living, such as eating, bathing and dressing.
The insurance offers coverage for stays in nursing homes and assisting living facilities and provides coverage for home health care in the event seniors are unable to care for themselves or have a disability.
Reasons exist where long-term care insurance is no longer a viable means of paying for long-term care. Those who purchased a long-term care insurance policy in the 1990s will see their premiums spike.
The substantial increase gives life to the possibility of being unable to pay the exorbitant premiums, leaving the policyholders without the insurance when they most need it.
In other instances, long-term care insurance may only pay for a few years of services, leaving the policyholders without financial means if they outlive the stipulated years of coverage.
Those who wait too long to buy long-term care insurance may be declined coverage. Frequently, people over the age of 84 are denied coverage, simply due to their advancement in years and the likelihood of chronic, age-related diseases.
Seniors have options other than long-term insurance when it comes to paying for long-term care:
Health savings accounts
Health savings accounts provide a practical means of stashing away money tax-free to cover healthcare costs.
Those who served as little as 90 days in the military during a war qualify for benefits. The Department of Veterans Affairs will help veterans and their families navigate the complex process of paying for and receiving long-term care. Family caregivers can find information on receiving compensation through the department’s Aid and Attendance program.
A senior’s property is a valuable asset. Selling the home or taking out a reverse mortgage can help pay for long-term care.
Withdrawing financial assets from an individual retirement account may qualify as a tax deduction. If the money from an IRA is used solely for long-term care, it triggers a medical expense deduction, readily transforming the IRA into a tax-free health savings account.
Monthly social security benefits can help pay for the cost of long-term care. Many senior citizens use the income generated from social security benefits as a primary means to reduce the cost of long-term care.
Those who receive pensions can use these guaranteed payments to offset the cost of long-term care.
Medicaid benefits are strictly reserved for nursing homes and will not pay for assisted living. Some states do allow healthcare services for those who are eligible.
Medicaid is useful to those who have depleted their assets. The government program is also intended to aid those with low income. Rules that apply to Medicaid benefits differ in each state.
Savings and investments
A financial advisor or a lawyer with expertise in elder law and estate planning can go a long way in guiding a senior in how to save for future long-term care expenses. Professionals like these also have the knowledge to appropriately advise clients on the pros and cons of purchasing long-term care insurance.
Family and friends
Seniors may be able to rely on family or close friends for some level of long-term care support. Individuals should consider whether family members can reasonably accommodate the seniors’ needs and for how long.
Type of care
Nowadays, seniors are faced with a wealth of long-term care opportunities, from residential group homes to adult day care to home health care. Assisted living situations are far more economical if the senior does not have medical needs. Seniors and their families are advised to carefully select the most appropriate long-term care option to reduce long-term care costs.
Short-term care insurance
Those who fail to qualify for long-term care insurance can turn to short-term care insurance. Benefits typically last one year. Short-term care insurance is oftentimes affordable.
Some life insurance policies offer long-term care benefits. Long-term care settlement options are included at no cost.
Some life insurance policies contain a chronic illness rider. Policyholders become eligible for this rider if they are unable to perform two out of six activities of daily living or if they develop a cognitive impairment.
Life insurance policies can also be cashed out for 50% to 75% of the death benefit.
Paying for long-term senior care can be accomplished without long-term care insurance as the primary method of payment. Putting together any combination of the above means will ensure seniors are continually well-supported financially when the need for long-term care arises.
Seniors can reliably turn to Assisting Hands Home Care Fort Myers FL when they need compassionate, in-home assistance with the activities of daily living. The caregivers of our elder care agency are exceptionally skilled in providing a range of non-medical care. Older individuals receive assistance with personal care, such as bathing, grooming, toileting and dressing.
Each caregiver is trained in fall prevention; caregivers assist seniors with mobility issues and declutter the living space to prevent injury.
Meal preparation also helps those with the physical incapacity to cook to receive adequate nutrition daily.
Light housekeeping and transportation are also invaluable services to help seniors throughout the day.
Assisting Hands Home Care also offers specialized, non-medical care in the comfort of the senior’s home. Alzheimer’s and dementia care are provided by specially trained professional caregivers.
Hospice care is available for those individuals with terminal illnesses. Seniors who are recovering from a surgery receive optimum non-medical, post-surgical care from the Assisting Hands Home Care team.
Start on the journey toward aging gracefully with the support of the Assisting Hands Home Care team.
Our senior home care management team discusses the needs of the care recipient with the family and senior in order to develop a customized and flexible plan of care that can be updated as needs change.
Assisting Hands Home Care is dedicated to serving the needs of the elder population in the Fort Myers, FL community.