Tuesday, June 2, 2015

Long Term Care Insurance: The 3 Big Myths

Most people have heard of Long Term Care Insurance but surprisingly only a small percentage of Americans have it. There are 3 big myths that we believe keeps individuals from purchasing this very important coverage. With this video we want to explain why these myths are simply not the true facts.

Sunday, March 1, 2015

The Major Retirement Expense You May Not Have Thought Of

At least 70% of people over the age of 65 will need long-term care in their lifetime, according to the U.S. Department of Health and Human Services.

Just let that sink in for a moment. Even if you're in great health now, odds are you'll need long-term care at some point. Have you planned for it? You should, because it could be one of the biggest threats facing your retirement.

The cost of long-term careLong-term care is far more expensive than many people realizeAccording to Genworth Financial, in California, the average cost for a day healthcare facility is about $20,000 per year, while a home health aide costs an average of $53,000 and the average private nursing-home room costs over $100,000 annually.

Consider insuranceIf you don't have a significant asset base, you should consider long-term care insurance, especially given that health insurance plans generally cover limited types and dollar amounts of long-term care.

For example, most health insurance will only cover up to 100 days of skilled nursing that follows a recent hospitalization for a related condition. That means you're on the hook for the rest.
From this perspective, long-term care insurance starts to look really attractive, especially considering that seven out of 10 Americans could make use of it.

If you're thinking of buying a policy, then don't delay. The older you get, the more expensive you are to insure, therefore stalling defeats the purpose of the insurance. And if your health takes a turn for the worst, you may be ineligible for coverage. In fact, 45% of long-term care insurance applicants are denied coverage. That number rises to 66% for those 80 and over. So, even though it's an extra cost now, getting a policy while you're relatively young and healthy could pay huge dividends later on when you really need it. 

SOURCE:  The Motley Fool, Feb. 8, 2014 (Click Here For The Full Article)