Long Term Care services are those services which assist persons who have lost the ability to care for themselves, or who have a "cognitive impairment" such as a dementia which renders them unable to safely be alone. We usually think of long term care needs as conditions that are chronic in nature, and expected to last at least 90 days. This type of care can be very expensive, and drastically drain hard earned savings. Currently, care costs in Oklahoma average $4500 to $6500 a month.
That is why people insure this risk with Long Term Care Insurance. But LTC insurance protects more than assets. The number one reason for purchasing Long Term Care Insurance we hear is "I don't want to be a burden on my family." People want the choice of the best available care, and they want it provided in home, adult day care, and assisted living centers. They want a nursing home to be a place of last resort, though policies cover nursing homes, as well. They want to be able to pay family members or informal caregivers whenever possible.
Read more about families caring for family .... The Sandwich Generation
All ages purchase Long Term Care insurance, because 40% of claims paid are for persons under age 65. Accidents, early onset progressive debilitating illnesses, and simply becoming frail might all be reasons to need coverage.
The two comments we hear most often are: "I wish I had bought this sooner," and "This is more affordable than I thought." Premiums are based on age, health, benefits purchased, optional riders, and applicable discounts.
There are two basic categories for Long Term Care insurance coverage: Traditional plans, and "Life/Hybrid" or "Linked Benefit" plans. Traditional plans are most popular for those who prefer an affordable, pay-as-you-go option. These plans are easily customized to meet your particular budget needs, while offering robust coverage and flexibility.
The "Linked benefit plans" are a perfect fit for a niche consumer: someone who is considering self funding their long term care needs, but realize that reallocating assets will enable him or her to maximize dollars and plan more wisely as they prepare for longevity. These plans are most typically funded through a lump sum premium, but limited pay options up to 10 years, though not as popular, are also available. These plans offer a "win-win" solution. If you pass on without needing your LTC benefits, your beneficiary will receive life insurance proceeds. If you need LTC services, the policy will pay a much greater yield than the initial premium you paid.
Talking face to face is always the best option for learning more, and for accurate premium designs. Everyone's needs are unique. Visit the Contact Us page to get more information. We can help you determine if purchasing Long Term Care Insurance makes sense for you and those you love.
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