Wednesday, March 19, 2014

Why Purchase Long Term Care Insurance

Long-term care insurance protects your retirement and maintains your family’s well-being, allowing you to chose where and how you receive the care you need.

Without a Partnership Policy, individuals have these typical options to pay for Long-Term Care:
Out-of-pocket
Can quickly wipe out savings.

• Transfer assets
Medicaid planning may allow you to qualify for Medicaid quicker than spending down assets on your care. Downsides of Medicaid planning include the loss of control of your assets.

Rely on the charity of friends and family
Most people prefer the independence offered by paying their own way or having long-term care insurance. A Partnership Policy offers an extra level of protection against losing life savings to pay for the cost of care.

According to America’s Health Insurance Plans (AHIP ), informal\ caregivers, such as family andfriends, provide about 70 percent of all long-term care. You should discuss with your spouse, children or friends what assistance they would provide if you became sick or injured and needed care.
There are many combinations of benefits available for long-term care insurance, and many types of policies.
Here are some helpful important terms.
Reimbursement - Most common policy type. Your policy or certificate will pay benefits after you receive and pay for eligible services. For ongoing care that regularly exceeds your policy benefit, such as nursing home care, arrangements can often be made to have the insurer pay the provider directly. The coverage pays for the lesser of the expense you incurred or the dollar limit of your policy.

Indemnity Policy - The benefits are paid on this policy without regard to the actual amount of the expense incurred. Instead, the insurance company decides if you are eligible for benefits and if the services you receive and paid for are covered under the policy. Once you have paid any amount for services covered in the policy, the insurance company pays the full daily benefit to you directly.

4 comments:

  1. I have never though of such thing as long-term care insurance for my self until we have faced the grandpa's illness. he is not insured and the burden of care as well as expenses are on the family. My mother is actually socked out and the continuous online applications for unsecured personal loans worries me a lot as the snowball of debt grows and we will still to cover it somehow.

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  2. Long-term care insurance is underwritten by Mutual of Omaha Insurance Company, Mutual of Omaha Plaza, Omaha, NE 68175, 1-800-775-6000. For more info Visit our Website.

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  3. Unsecured personal loans should never be taken lightly because if you fail to repay them it will affect your credit score and it may become quite difficult to get loans in the future for more important purposes.

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  4. Great article, indeed we all need Long Term Care Insurance now more than ever. We at Mcinsuranceservices takes care of our this need and provide you with a life insurance plan custom tailored as per your needs and desire so that you never have to worry about yourself and your family.

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