Long Term Care
What is Long Term Care?
Long Term Care is the needed assistance provided to individuals who are unable to perform the Activities of Daily Living (ADL's) that healthy, functional individuals are able to do independently. To better understand the term Long Term Care, you need to understand Activities of Daily Living (ADL’s). They can be defined as bathing, eating, dressing, transferring, toileting, and continence. An example would be, think of the activities that you may have performed when you woke up this morning. You probably climb out of the bed, walked to the bathroom, used the toilet, took a bath or shower, got dressed and ate breakfast. When we are healthy it is easy to take for granted the ability to perform the above Activities of Daily Living. However when you or a loved one is in a serious accident, or stricken with a heart attack, a major stroke, or have physical disabilities from Parkinson’s, Alzheimer’s, Senile Dementia, performing all of these (ADL’s) becomes impossible without the assistance of another person.
- Contrary to popular belief many Americans think that government programs like Medicare will pay their long-term care bills, but in fact it pays only for short periods of care. Medicare will not pay for custodial care, either at home or in a nursing home, adult daycare, or assisted-care living facilities.
- Medicaid which is not the same as Medicare covers only the very poor; whose assets are at or below federal poverty guidelines for income and assets.
- Long Term Care is typically not covered by health insurance or disability insurance - which only replaces lost income.
- Since most types of insurance programs or government programs inadequately cover long term care, it is clear who is responsible for paying for your long term care you, and your family members through savings, retirement funds or the selling of personal assets. The national average for nursing home stay for 1 year can cost from $40,000 to $80,000 a year depending on the area of the country. For in home assistance, the national average cost is $22.50 per hour, or over $46,000 per year for 40 hours per week. Not to mention inflation, which means it is only going to cost more. With the cost of long term care we see many people at risk of losing their life savings with in a year.
- The most common misconception is most people think of Long Term Care as something needed by older people, but an accident or illness can strike someone of any age. When it does, they will also need assistance.
What is the solution?….. Long Term Care Insurance!
- You want to avoid burdening your family with extensive care giving responsibilities.
- You don’t want to depend on government programs for care.
- You want to receive high quality care and to be able to choose where you receive care.
- You have assets and income you want to protect.
- Long Term Care Insurance covers in home care which is provided in the comfort of your own home.
- Long Term Care Insurance is private insurance; designed to help pay for nursing home or home healthcare expenses, the day to day assistance you need when you have a chronic illness, disability or cognitive impairment. It is also one of the best ways to protect you and your family in the event you face the overwhelming expense of care in the future.
- It is wise to purchase Long Term Care Insurance when you are younger and healthy to reduce the premium and to guarantee issue.
- By the time most people realize they need Long Term Care Insurance; it’s too late.