Planning for Long Term Care

Paying for Long Term Care

In regards to Planning & Paying for  Long Term Care for yourself or a loved one, most people do not plan!  They are sticking their heads in the sand when it comes to facing the fact that 70% of people over 65 will need long term care services at some point in their lives. Medicare and most health insurance plans including Medicare Supplement Insurance (Medigap) policies do not pay for this type of care, also “Custodial Care”.    This last statement is so important to understand.  In my practice, people ask every day “well, you mean Medicare doesn’t pay for the nursing home?”  Medicare only pays for medically-necessary skilled nursing facility care or home health care, if you meet certain condition & it is very limited.

Where can you received Long Term Care ?- many places, your home, Assisted Living or in a nursing home.  It is so important to start planning for long-term care now to maintain your independence and to make sure you get the care you may need in the future.

Paying for Long Term Care can come from several sources, a few a listed below, but certainly everyone’s circumstances are different.  You will need to consider all your options:

Long Term Care Insurance – a private insurance policy can help pay all or part of your expenses at home, assisted living or nursing home.  NOTE:  Long Term Care Insurance doesn’t replace your Medicare coverage, it is entirely seperate.

Private Pay - most families don’t have the resources @ $145.00+  per day – especially if there is a spouse remaining at home, they have to maintain their lifestyle as well.

Veteran’s Benefits – The Dept. of VA Affairs may provide some Long Term Care assistance for certain eligible veterans under the Aid and Attendance Allowance Program.

Medicaid – NOT Medicare!- Medicaid is a joint Federal and state program that pays for certain health service for people with limited income & resources.  If you qualify, you may be able to get help to pay for nursing home care or other health care costs.   Who can be eligible for Medicaid?   In most states, to qualify for Medicaid, you must not have more than $2,000 in cash or bank accounts & if there is not a surviving spouse, you may have to sell your home in order to quality.    Medicaid eligibility rules differ from state to state.  With Medicaid – you don’t get to pick the nursing home, they will send you wherever there is a vacant bed available.  Not a good choice many times!

Start Planning Today so that your family can keep their assets that took a lifetime to accumulate!