Long Term Care

• There is no cost to using a broker.
• A broker can compare many companies and plans and explain the differences to you. A company agent only knows their plans and can only offer their plans.
• A broker continues as an advisor to you. 
• If you have questions or issues, your broker is an additional asset that you can rely on and understands the plan you are on.

Medicare does not  cover Long Term Care. Medicare may pay for the first 20 days in a skilled nursing facility. After that, you’ll need to pay a coinsurance per day, for up to 100 days. Once you surpass 100 days, you’re responsible for the cost of your care.

To activate a Long Term Care policy you need help with two out of six daily  activities of living (which generally include bathing, dressing, toileting, eating, transferring and continence) or you have severe cognitive impairment.

There are different levels of Long Term Care.

• Home care costs range from $30 per hour and up, usually with a 4 hour minimum.
• Assisted living in a facility which can cost $5,000 or more per month.
• Skilled nursing in a facility can cost $7,000 or more.
• Memory care in a facility which can cost $8,000 or more.
• Many facilities will base the price on the level of care needed, such as an extra charge for bathing or administering medications.

Yes, There are several ways to purchase a Long Term Care policy.

• Traditional LTC: You pay the lowest premium. However the premium can increase and if you do not use it there are no other benefits.
• LTC with living benefits: This has a higher premium which offers life insurance, and the premiums are guaranteed not to increase. 
• Annuities with a Long Term Care Rider. 

Maybe, unlike life insurance, which is based on mortality, Long Term Care policies are based on morbidity. The younger and the healthier you are the easier to qualify and get a lower premium.