Thursday, April 26, 2012
Ten Reasons to Purchase Long Term Care Insurance
1. Protect Your Assets and Retirement - The average cost of a nursing home care in 2010 is $75,190 for a private room. Home Health Care services can cost as much as $19 per hour (1.). Long-term care insurance can protect these assets by covering these high costs. Don't let all of your hard earned money go to long-term care services, LTC Insurance can help!
2. Preserve Your Independence - Most long-term care insurance policies today allow you to have choice and remain independent as long as possible, with allowing you to receive care in your home or a community setting, instead of immediately entering a nursing home.
3. Avoid being a Burden on Others - Most long-term care today is provided by a family member or loved one. With most long-term care insurance policies you have the option to pay for home health care aide or homemaker to come into your home and provide your care. Instead of being a burden to a loved one.
4. Avoid going on Medicaid - To qualify for Medicaid you would have to be in a low income bracket, deplete all of your assets on long-term care services, or spend down all your assets unless you choose a long-term care insurance partnership policy.
5. Tax Advantages - Many states offer a tax deduction or special tax credit for purchasing long-term care insurance. In addition, Tax-Qualified policies allow your premiums to be added to your other medical expense deductibles, and then deducted from the amount which is more than 7.5 percent of the adjusted gross income on the federal income tax return.
6. Medicare Won't Pay Fully - You should not rely on Medicare to pay for all of your long-term care needs. Medicare strictly provides skilled care for a short period of time and most LTC is not skilled care, nor is it short term.
7. If you have a family history of a chronic disease or longevity it is a good idea to purchase long-term care insurance.
8. If your age and health permit, purchase long-term care insurance. Typically, as you get older health problems occur and you may be uninsurable. Therefore it is a good idea to buy long-term care insurance before it is too late.
9. Your gender - women are more likely to need long-term care services than men, 75% of women are nursing home residents.
10. Health insurance won't cove long-term care costs.