“That doesn’t mean everyone needs long-term care insurance.” Traditional long-term care insurance “Everyone needs a long-term care plan,” says Ryan Graham, a senior financial adviser at Altfest Personal Wealth Management in New York City.
That prospect leads many people to think about how they can plan for long-term care expenses in a way that protects their retirement savings and lets them get the kind of care they want. And that’s where long-term care insurance comes in, though it’s not the only solution. Although income limits vary by state, you typically can’t get Medicaid unless you exhaust most of your savings and other assets beyond your primary home and vehicle. Department of Veterans Affairs.īut the largest single funding source is Medicaid, the joint federal and state program that covers low-income Americans.
Veterans may access long-term care through the U.S. Some Medicare Advantage plans, from private insurers, offer supplemental coverage for services like meal delivery and rides to medical appointments, but it is limited. Traditional Medicare, the public health insurance program for people over 65, does not cover long-term care beyond some skilled care right after hospitalization for an injury or illness. The costs of care are highly variable, depending on how long you require it, where you live and how intense your needs are. The ways to pay for services vary, too. About 24 percent will need more than two years of paid care, and 15 percent will spend two-plus years in a nursing home. Although some people will get by with unpaid care from family members and others, nearly half will need some paid assistance. Why plan for long-term care?Ībout 70 percent of Americans who reach age 65 will need some long-term care during their remaining years, according to a study from the Urban Institute and the U.S. The market has changed greatly in recent years. But before you sign up for a policy, there’s a lot to learn. One option to pay for such services is long-term care insurance. That means you may need help at home with basic daily activities such as bathing, dressing and eating community services like adult day care and transportation or ongoing care in a nursing home, assisted living residence or other facility. It’s a fact of life: Someday you may need long-term care.