November is Long Term Care Awareness Month. This is a great time to look at your future retirement and plan to protect your 401k and other assets from the high risk and high cost of Long Term Health Care. Affordable Long Term Care Insurance is an ideal way to plan for the physical, emotional and financial burdens created by a Long Term Health Care event.
This is an article about the awareness month sponsored in part by the American Association for Long Term Care Insurance (AALTCI – http://www.alltci.org).
People need Long Term Health Care due to accidents, illnesses or the impact of aging. The US Department of Health and Human Services says if you reach the age of 65 you will have a 70% chance of needing some form of Long Term Health Care in your lifetime.
It is easy to ignore this problem. First, many people think their health insurance or Medicare will pay for this type of care. The fact is your health insurance, Medicare and any Medicare supplement you would have will only pay for generally up to 100 days of skilled care as long as you continue to improve.
Most Long Term Care is custodial in nature. This means health with everyday activities of living. You know, the things we had to learn as a young child … eating, bathing, dressing, etc. Later in life either due to an accident, illness or aging, we end up needing help with those so-called “ADL’s again. This costs money … and health insurance of any kind does not pay for it … only Long Term Care Insurance.
It can also mean you need supervision due to a memory issue. As we age the chance of having some type of memory problem increases dramatically. Another American develops Alzheimer’s disease every 67 seconds. Today, over 5 million Americans are living with Alzheimer’s disease, including an estimated 200,000 under the age of 65.
According to the Alzheimer’s Association, in 2013, 15.5 million family and friends provided 17.7 billion hours of unpaid care to those with Alzheimer’s and other dementias – care valued at $220.2 billion. Nearly 60 percent of Alzheimer’s and dementia caregivers rate the emotional stress of caregiving as high or very high; more than one-third report symptoms of depression. Due to the physical and emotional toll of caregiving, Alzheimer’s and dementia caregivers had $9.3 billion in additional health care costs of their own in 2013.
Alzheimer’s is just one type of dementia that a person could develop. SO help with supervision or ADL’s are not covered by health insurance and this leaves you and your family with not only the cost of care but the emotional impact it creates on family.
Medicaid, the medical welfare program, will pay for this type of care but only if you are poor or are able to access the program through the federal/state partnership program with a qualified Long Term Care Insurance policy.
Just recently Malcolm Young, the founding member of the rock group AC/DC retired from the band at age 61 due to dementia. Glen Campbell has been suffering from Alzheimer’s and has been in the news for almost a year because of his suffering.
This is important to issue to address BEFORE you retire as part of retirement planning and is why November of each year is Long Term Care Awareness Month in order to focus on the reasons why planning is important.
Affordable Long Term Care Insurance and a partnership policy is a great way to protect your 401k and other assets and help make sure you are never a burden on your loved ones.
Tax incentives exist both personal and business. The IRS just released the 2015 deduction schedule:
I would highly suggest planning now. Get free quotes from all the top insurance companies and discover how affordable and easy it is to plan. Go to www.radioltc.com