We strongly urge you to consider long term care insurance with our increasing life span and the increasing costs of care for long term illness. There are many types of long term care insurance with a wide range of costs depending on your age when you procure the policy and the type of coverage you desire. We were fortunate to obtain a group plan long term care insurance policy offered through our employer when we were in our late forties. Parents of employees could apply as well, so my mother signed up for her policy at age 78. In order to obtain long term care insurance the applicant needs to meet the medical requirements of the insurance company. For example my stepfather, who had been successfully treated for prostate cancer within the past five years of his application, did not qualify.
Factors to be considered when selecting your coverage include: Maximum Daily Amount for Nursing Home Care Maximum Daily Amount for Alternative Care Facility Care Maximum Daily Amount for Home Health Care/Adult Day Care Maximum Daily Amount for Informal Care Calendar Year Maximum For Informal Care Lifetime Maximum Benefit
Over the life of the policy, the insurance company may have cost of living premium increases …show more content…
A one-time lump sum payment is paid at the inception of the annuity-type policies and most of the life insurance-type policies. If you do not file any claims on the annuity-type policy, you may be able to cash in the policy or upon death be eligible for a return of most of the premium. In the case of a life insurance policy with a long term care rider, if you do not file a claim, you will be entitled to a death benefit that is greater than the premium on the life-insurance-type