Long-term care insurance helps to target a wide range of services that may not be covered under a regular health insurance plan. This includes coverage for services such as activities of daily living: like light cleaning, bathing, and getting in and out of bed.
What is long-term care insurance?
Additional benefits of long-term care insurance
Remember, Employer-based health coverage will not pay for daily, extended care services. Medicare on the other hand may cover a short period of in-home care, but only under strict and limiting conditions.
An additional benefit that long-term care insurance can provide is that it is designed to help offset the cost of care when you have a chronic condition, illness, or disability such as Alzheimer’s or Parkinson’s disease. Many polices will reimburse you for provided care received in a variety of places such as:
- An assisted living facility
- A nursing home
- Your home
How do I apply for long-term care insurance?
Similar to another insurance policy, you’ll need to fill out an application with the company you wish to receive a policy from. The application will request common information in addition to medical questions pertaining to the type of policy you are applying for. Most long-term care policies have a maximum payout amount that would limit both daily as well as lifetime payouts received under the policy. Based on this you will want to ensure that you select a plan that best fits your needs regarding the coverage offered as well as the premium charged for the policy.
Once the application is filed and approved, you will receive your effective policy and begin paying premiums towards your coverage.
When is it too late to apply?
While it is truly never “too late” to apply for long-term care insurance, as you age the more the premium you pay starts to increase. Additionally, the longer you wait to apply, the more likely you are to be denied. 45% of applicants aged 70 and above have their applications denied when compared to those aged 55 who see less than 18% denied. At a certain age, the premiums charged may begin to outweigh the benefits offered by the insurance policy. The key here is that there is a large benefit to purchasing long-term care insurance early in life rather than later.
When can I file a claim?
Though there is no designated filing time, the best moment to file a claim is the moment you or a loved one is showing signs of needing care. This is due to most long term care insurance policies involving “elimination periods” or waiting timeframes prior to them actually paying out. Additionally, this elimination period can last anywhere from 30 to 90 days meaning the payments for home care services will have to come from you or your loved one during this timeframe until it is reimbursed by the insurance policy.
Additional factors contributing to the cost
There are many factors that can affect the cost of long term care insurance for you or your loved one other than simply age. Some additional factors that play a role in your cost of premium include:
- Current Health
- Marital Status
- Insurance Company Chosen
- Type of Coverage Chosen
Still have questions?
Do you or a loved one have additional questions about your long-term care insurance or even where you can apply for a policy? Maybe need some assistance with filing a claim on your policy?
Here at Care Indeed we are here to help.
Give us a call at (877) 504-3822.