Long-Term Care Insurance: Eldercare Solution

When I suddenly had to become a fulltime caregiver to my elderly parents, both with health problems and starting to develop dementia (namely Alzheimer's), I had never even heard of Long-Term Care Insurance. After we burned through their life savings, and then started chipping away at mine, I was advised to apply for financial assistance for them through the government's Medicaid system--a program for those at the poverty level. It was quite a long process with mounds of paperwork and numerous investigations, but finally my parents were approved.

I was so happy that monetary help would finally be on the way, until I discovered that the financial assistance would only pay to put my parents in a nursing home, not even in Assisted Living, and with very little help to keep them in their own home.

Since their levels of care were so different (my mother needed most things done for her), there weren't any facilities that would allow them to be together. They'd be across the street from each other in different wings of the home. After fifty-five years of marriage, my parents were adamant about wanting to be together in their own home, in their own bed, where they could continue to cuddle and kiss--as they so frequently did. And, since my father was so "difficult" with a terrible temper and quite a long record of manipulative disruptive behaviors, the homes didn't want to deal with him anyway.

It was challenging, but I committed to keeping my parents in their own home and attending Adult Day Health Care five days a week. Then, with the help of two marvelous caregivers, after four more years of loving each other--they passed, just a few months apart. Even though caring for every aspect of my parents' last years was the hardest thing I have ever done--I am proud to say I gave them the best end-of-life I possibly could.

Had I only known to insist that we buy Long-Term Care Insurance for them prior to their illnesses--their years of in-home care could have been paid for, and I could have saved myself so much heartache, not to mention a small fortune. I encourage you to learn from my mistake and look into LTC insurance long before you need it-for your loved ones as well as yourself. Like fire insurance, hopefully, you'll never have to use it.

Also, call your local Area Agency on Aging, or Department of Aging, and ask if there are any financial programs, waivers or grants available in your area that you can apply for.

STARTLING STATISTICS

· An estimated 4.5 to 5 million Americans have Alzheimer's disease. In a Gallup poll, 1 in 10 Americans said that they had a family member with Alzheimer's, and 1 in 3 knew someone with the disease.

· Increasing age is the greatest risk factor for Alzheimer's. One in 10 individuals over 65 and nearly half over 85 are affected. Rare, inherited forms of Alzheimer's can even strike individuals in their 30's and 40's.

· A person with Alzheimer's disease will live an average of eight years and as many as 20 years or more from the first onset of symptoms.

· More than 7 out of 10 people with Alzheimer's disease live at home, where family and friends provide 80 percent of their care. The estimated value of this informal care is $257 billion annually.

· One half of the U.S. population has a chronic condition. More than one quarter (26.6%) of the adult population provide care for a chronically ill, disabled or aged family member or friend, which translates to more than 50 million people.

· 37% of caregivers are living in the same household as the person they care for. 54% are between 35 and 64 years of age. 59% of the adult population either is or expects to be a family caregiver, and 2 million more caregivers will be needed in the next twenty years.

· An estimated 43% of Americans age 65 or older will spend time in a nursing home. By 2012, 75% of Americans over age 65 will require long-term care. Long-term care costs are rising at 6% annually.

· The annual cost of Alzheimer's care in the U.S. is at least $100 billion, and will soar to at least $375 billion by mid-century, overwhelming our health care system and bankrupting Medicare and Medicaid.

· Alzheimer's disease costs American business $61 billion a year, which is equivalent to the net profits of the top 10 Fortune 500 companies. $24.6 billion covers Alzheimer health care, and $36.5 billion covers costs related to caregivers of individuals with Alzheimer's, including lost productivity, absenteeism and worker replacement.

THREE WAYS TO PAY FOR LONG-TERM CARE

1. Pay for in-home caregivers and assisted living/nursing homes out of pocket. This is expensive and can often deplete a family's life savings.

2. Meet a very specific poverty level and qualify for government assistance through the Medicaid program. Unfortunately, options are limited, only paying for nursing homes that accept Medicaid.

3. Buy a Comprehensive Long-Term Care Insurance policy. This protects your family's assets from the rising costs of caring for someone who needs full time care. An employer might pay the tax-deductible premiums. Consider buying it at a younger age, when more affordable and accessible. It must be bought before a major illness strikes. Medicare and regular health insurance does not pay for long-term care. The average cost for a person who needs long-term care is $40-$70,000 annually, depending on where you live, plus the cost to the family caregiver who may have to leave their job.

QUESTIONS TO ASK YOUR INSURANCE AGENT

--Is the coverage comprehensive, meaning it includes all levels of care: in the home, assisted living, board & care, and nursing/dementia facilities?

--What is the daily benefit?

--Is there 5% annually compounded inflation protection?

--What is the elimination period?

--Is it a lifetime benefit period or a limited time benefit policy?

--Is there a spousal discount?

--Can you hire caregivers privately as well as from an agency?

--Is the home care benefit based on a daily, weekly or monthly maximum, and if the benefit is not used, can it be used in the future?

--Does it cover home care coordination of services?

--How many ADL's (Activities of Daily Living) does it take to trigger a claim?

--Is there a time limit for filing a claim?

--Does it cover the cost of Adult Day Care & Adult Day Health Care, hospice and respite programs?

--Is it a tax-qualified plan?

--Is the company highly rated and have they ever raised premiums?

--Can you see the company's published annual audit to check their track record for paying claims?

###

Jacqueline Marcell is a national speaker on eldercare and the author of, "Elder Rage", a Book-of-the-Month Club selection being considered for a feature film. Over fifty endorsements include: Hugh Downs, Regis Philbin and Dr. Dean Edell. Jacqueline also hosts a radio program heard worldwide on: http://www.wsradio.com/copingwithcaregiving . For more information: http://www.ElderRage.com

Permission is granted to publish all/part of this article free of charge as long as: the author's byline is included, the links are live, and the author is notified: J.Marcell@cox.net or 949-975-1012.

---

Better Links Directory

Health Insurance Coverage

Health insurance is something that everyone needs today. The rising... Read More

Poor call centre performances driving motorists online for insurance

In their efforts to cut costs more and more finance... Read More

Who Sets Auto Insurance Rates?

Auto Insurance rates are a complicated business. Have you ever... Read More

Millions of Americans have No Life Insurance

Only 61% of adult Americans have life insurance (down from... Read More

Inside-Information Regarding Your Motor Vehicle Accident Insurance Claim

Here's some "Inside-Info" you must know so you won't be... Read More

Compare Car Insurance Companies Before You Commit

If you want to save money on your car insurance,... Read More

Outside Pressures On The Typical Insurance Adjuster

Insurance adjusters are not without outside pressures they must deal... Read More

Disability Income Insurance Can Meet All Your Financial Needs

Disability income insurance can cover you in the event of... Read More

Homeowners Insurance Coverage

When deciding on the appropriate amount of homeowner's insurance coverage... Read More

Give Your Auto Policy a Tune-Up

When you originally purchased your auto insurance policy, you purchased... Read More

An Intro To Auto Insurance

Although premiums, policies and prices vary widely, the mandate does... Read More

Eleven Money-Saving Auto Insurance Tips for Senior Drivers

Following a few simple tips and taking these measures will... Read More

Young Driver Car Insurance

It has become increasingly difficult to get young driver car... Read More

Should You Have Higher Deductibles On Your Coverage?

What is a deductible? A deductible is the amount you... Read More

Business Insurance ? And What You Need To Know

Getting your business up and running is exciting, challenging and... Read More

A Few Things Everyone Should Know About Disability

Did you know? One year of disability can wipe out... Read More

Is Life Insurance Comparison Really Necessary?

When you want to purchase a life insurance policy, you... Read More

Guide to Life Insurance Terms

Listed below is a useful guide to life insurance terms.... Read More

Entrepreneurs, Fill in the Gaps of Your Homeowners Policy

Business Owners Policies for the Self-EmployedWho needs a business owner's... Read More

How Can I Compare Life Insurance Quotes?

The online life insurance companies offer a free service where... Read More

How Do I Calculate How Much Life Insurance I Need?

Life insurance protects you and your family from economic hardship... Read More

What Do You Mean My Auto Insurance Policy Doesnt Cover This!!

Auto insurance is an agreement between you and your insurance... Read More

Why Would I Need Auto Insurance Specialists?

If you do not understand the way that auto insurance... Read More

Ever Wondered What An Auto Insurance Claim Adjuster Does?

An auto insurance claim adjuster works for the insurance company... Read More

Alternate Risk Transfer (ART) - Insurance Strategies

Risk ManagementAlternate Risk Transfer is a fancy way of saying... Read More