When Should I Purchase Long-term Care Insurance?

As we age, the likelihood of needing assistance with daily activities increases. Long-term care insurance (LTCI) is designed to cover the costs associated with long-term care services, which regular health insurance or Medicare typically do not cover. This type of insurance can provide peace of mind and financial security for individuals and their families, but understanding coverage options and knowing when you may need a policy can be complicated.

What Is Long-term Care Insurance?

LTCI is a type of policy that can help cover the costs of care needed for individuals who have chronic illnesses, disabilities or other conditions that require assistance with daily living activities. These activities can include bathing, dressing, eating and mobility. LTCI policies can cover care provided in various settings, such as at home or in an assisted living facility.

Who May Need Long-term Care Coverage?

LTCI is particularly important for individuals who want to protect their assets and ensure they have access to quality care in the future. The following are some groups that may benefit from LTCI:

• Aging individuals—As people age, the risk of needing long-term care increases. LTCI can help cover the costs of care that other insurance may not cover.
• People with a family history of chronic illnesses—Those with a family history of conditions like Alzheimer’s or other chronic illnesses may want to consider LTCI to prepare for potential future needs.
• Single adults—Individuals without a spouse or children to provide care may find LTCI particularly beneficial as they may lack other caregiving options.
• People with limited savings—Those with minimal savings or assets may have a greater need for LCTI, as paying for caregiving costs could otherwise be impossible.

When Is the Right Time to Purchase Coverage?

Many people may start shopping for LCTI in their fifties and sixties when they are still in relatively good health and may qualify for lower premiums. Waiting until you are older or have health issues can result in disadvantageous rates or even denial of coverage altogether. It’s important to assess your health, family history and financial situation when deciding on the right time to buy a policy.

We’re Here to Help

Contact Smith & Associates Inc in Oakwood Hills, IL, to learn more about LCTI coverage or to get a free quote.

This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.