Long Term Care Insurance

Long Term Care Insurance could be the most important type of Insurance you have. 


Long Term Care Insurance covers your hospital bills and living expenses during any period of time you are unable to work or pay your bills due to illness or injury. Long term care coverage is often more important than Life Insurance because it pays a living benefit when you may need it the most. Long Term Care Insurance provides a steady income in the event you can no longer work or make money.


Long Term Care FAQ’s

Below we will answer some commonly asked questions about Long Term Care Policies. 

Q: What is long-term care insurance?

Long Term Care Insurance is coverage that protects you from the cost related to long term care. It will help pay for chronic conditions, illnesses and disabilities. It also pays for the expenses that come along with these illnesses over an extended period of time. This includes hospital stays, nursing care, in home health care, hospice and or assisted living costs.

Q: Will a policy cover all my expenses?

Coverage often depends on the type of policy you purchase. Some policies cover most services and situations while some are more focused on what they will and won’t cover. 

Before buying a long term care policy, you should ask yourself if you’re willing to accept some of the financial risk of having to pay more of your bills and expenses in the event of needing to use a policy.

The more money you are able to guarantee as income in the event of a long term illness through other investments, the lower your premium will be. Ensure you have enough coverage or income to cover all your expenses.

Q: Is Long Term Care Insurance Expensive?

The cost of a Long Term Care policy largely depends on your current age and any pre-existing medical conditions that could lead to your needing long term care. Costs also depend on the amount of coverage you are seeking and what is or isn’t covered by the policy.

Q: Whats the average cost of a Long Term Care policy?

According to the American Association for Long-Term Care Insurance, a healthy 50-year-old male could expect to pay approximately $960 per year for $164,000 worth of benefits.

A single, 50-year-old woman looking for the same coverage, on the other hand, can expect to pay about $1,200 per year.

Finally, a married couple made up of two 60-year-olds should plan on paying somewhere in the ballpark of $2,220 each year for coverage totaling around $328,000.

These numbers could be significantly different given the last report available was from 2015. We will shop around to find the best provider with the most amount of coverage available.

Q: Do policies exclude pre-existing conditions?

Possibly. It’s not unusual for Insurance Companies to deny coverage to people with specific pre-existing conditions. It’s also not uncommon that some providers refuse to pay for care that is related to conditions that were known when the policy was written. Some pre-existing conditions will have periods of time that aren’t covered during the first year or two of coverage but are then covered after an exclusionary period. 

Make sure you read the fine print of your policy before you sign the agreement and make your first payment.

Q: How old should I be when I purchase a Long Term Care Policy?

Most experts suggest waiting until you are in your mid 50’s or early 60’s. The high cost and low likelihood that you will need it sooner isn’t worth the expense. The money spent on Long Term Care may be better invested in stocks or annuities until you reach your mid 50’s.