Do you have a plan for your long-term care? |
What is long-term care?
Long-term care is the assistance given to anyone who needs help with normal activities of daily living (ADLs) – such as eating, bathing, dressing, transferring, or continence. It's also the supervision of persons with cognitive impairment, such as Alzheimer's disease. Long-term care services may be provided at home, at an assisted living facility, at an adult day-care center, or in a nursing home.
What are my odds?
- Sixty percent of Americans over the age of 65 will need long-term care in their lifetime.
Source: Washington Post, April 1996
- Nearly 50% of Americans will spend some time in a nursing home after age 65.
Source: “ Long Term Care. Knowing the Risk. Paying the Price” Health Insurance Association of America, 1997
- One in five Americans over age 50 will need long-term care services in the next 12 months.
Source: Harvard School of Public Health and Louis Harris & Associates, Long-term Care Awareness Survey, January 6, 1996 page 2
What are the costs?
- The annual cost of a nursing home stay exceeds $69,000, but it is not unusual for an individual to pay more than $100,000 per year in some nursing homes.
- A single occupancy assisted living studio apartment would cost approximately $34,000 per year.
- Two hours of skilled care from a nurse in your home, three times a week averages $25,000 per year. Two hours of personal care three times a week averages $7,800 per year.
Source: “Your Options for Financing Long-Term Care: A Massachusetts Guide” Published by the Massachusetts Division of Insurance Can I really receive long-term care at home?
Yes! More and more, professional long-term care services are being delivered right at home. This care can include a broad range of services, ranging from help with daily activities (such as bathing or dressing) to skilled nursing care. But without private long-term care insurance, these services might not be available to you.
The myth of government help.
Many people assume that Medicare and Medicaid will provide for their long- term care. The reality is that Medicare will cover only acute-care needs. Little or no in-home expenses are covered. And, to qualify for MassHealth (Medicaid), you must spend down your assets to the poverty level – only about $2,000 in Massachusetts!
Isn't there any good news? Yes! The laws governing MassHealth (Medicaid) currently state that if you purchase a qualifying long-term care policy, providing benefits of at least $125 a day for two years, your home will be exempt from a Medicaid lien. It will be there for your heirs even if you do eventually need Medicaid assistance.
Is long-term care insurance right for me, or other family members?
- Long-term care insurance is not for everyone.
- It must be affordable for you now and in the future.
- The proposed insured must be reasonably healthy in order to qualify for coverage.
We at The Braley Wellington Group represent the major Long-Term Care insurance providers and have access to their specialists. Call Bill Braley to arrange a no-obligation consultation so you can find out if Long-Term Care is right for you and your family.
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