Let’s start with the most echoed statement on the web: Americans are living longer but aren’t necessarily healthier, leading to health problems later in life. The U.S. Department of Health and Human Services reports that 69% of people will use long-term care services at some point. And that care comes with a cost: Long-term care costs range from $19,500 per year for adult day care to $102,200 per year for a private room in a nursing home.
Beyond costs, what other arguments circulate regarding buying long-term care insurance?
It can protect your assets. Medicare caps payments for skilled care at 100 days and only pays after meeting specific requirements. Medicaid only kicks in after you spend down your own assets. Private health insurance only pays for doctor and hospital bills. If you plan on any of these options, you’ll most likely spend most of your own money to pay for care, depleting your hard-earned savings.
It can take the pressure off your family. Becoming a caregiver is physically, emotionally, and often financially burdensome. Many people, even family members, aren’t able to make such a huge sacrifice. This is especially true when the caregiver is a spouse or partner also facing their own aging health issues.
It can provide you with care options. Long-term care insurance gives you flexible options when it comes to deciding where to receive care. Many facilities don’t accept Medicaid, so your options may be limited to a no-frills nursing home with shared rooms rather than a more amenity-oriented private nursing home where you’d be more comfortable.
It may come with life insurance protection. Many policies are hybrid policies bundling long-term care coverage with life insurance coverage (or an annuity). This type of policy offers financial protection should you pass away while also giving you the knowledge in knowing that your long-term care needs are covered.
Still have questions surrounding long-term care options? As your dedicated team, we can help you find the right choice for your situation. Reach out to us at (540) 720-5656, and we’ll provide you the information you need to make better-informed decisions.
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Megan Jones joined the ILG Financial team in 2020 as marketing director. Megan and her husband live in Fredericksburg, VA with their German Short Haired Pointer, Gus. Megan is a graduate of Longwood University and holds a degree in communications. Megan is the oldest of Dave Lopez’s three children and not only enjoys working alongside her father, but also with her cousin, Chase, who joined the ILG Financial team in 2020 as an advisor. Megan is also a fully licensed Life, Health, and Annuity agent. When not at work, Megan enjoys sitting on the back porch with family and friends enjoying food and music.
Amy Anderson joined the ILG Financial team in 2023 as the client relations coordinator. Her responsibilities include scheduling of appointments, annual check-up notifications, and annuity and required minimum distribution assistance. She is a graduate of Harding University with a degree in Computer Information Systems. Amy and her husband have two children and she enjoys reading, crocheting, music and spending time with her family.
Terri Center joined the ILG Financial team in 2019 as client services manager. She handles client records, application processing, and gathering information to provide a professional and friendly experience with all of our clients. Terri is a graduate of Oakland University. She is married and has two children. She enjoys hiking, family time, and puzzle challenging video games. She also likes to share her creativity in her canvas paintings and sewing projects.
Jessica Carson joined the ILG Financial team in 2018 as an agent. Jessica and her husband have four children, two dogs, 3 barn cats, 5 chickens, and three parakeets. She indeed loves her children and pets! When not at work, Jessica enjoys playing the piano and cello as well as traveling and spending time outside with her family, hiking, fishing, and boating.
Chase Lopez joined the ILG Financial team in 2020 as an advisor and obtained his