14030 Liberty St Montgomery, TX 77316
Most of us don't want to think about it, but chances are you’ll need some kind of help taking care of yourself later in life. The big question is: How will you pay for it?
Buying long-term care insurance can help.
Long-term care insurance helps cover a variety of services, this includes help with everyday tasks such as bathing, dressing, and moving in and out of bed.
A long-term care insurance policy can help pay for these services when you have a chronic illness, disability, or condition like Alzheimer's disease. Most long term care policies will reimburse expenses for care provided in various settings, including:
Planning for long-term care expenses is essential for any comprehensive financial plan, particularly once you reach your 50s and older. You don't want to wait until you need care to purchase coverage because you will not qualify for long-term care insurance. Most insurers do not approve applications for people who are older than 75. Typically, people purchase long-term care insurance between their mid-50s and mid-60s.
In the United States, long-term care costs between $35,000 and $108,000 a year in 2021. Private rooms in nursing homes are the most costly, with an average of $108,405 a year.
According to 2020 data from the Administration for Community Living, part of the U.S. Department of Health and Human Services, almost 70% of individuals aged 65 and older will eventually require long-term care services or support. On average, women need this care for 3.7 years, while men require it for 2.2 years.
No. Medicare only pays for short-term nursing home stays or limited home health care under specific conditions, such as rehabilitation after a hospital stay. Standard health insurance doesn't cover it either.
If you are lucky enough to qualify for Medicaid, the joint federal and state health insurance program for low-income individuals, it can provide long term care assistance, but only after you have depleted most of your savings.
If you require custodial care, which involves supervision and assistance with daily activities, and you don't have long-term care insurance, you will generally have to cover all of the costs out-of-pocket in most states.