| Providing for adequate health care is one of the | | | | insurance and what to look for when buying it. |
| top concerns for today's seniors. And yet, many | | | | If purchasing long term care insurance isn't an |
| find themselves coming up short when that need | | | | option for you, there are still some strategies you |
| is for long term care. With costs skyrocketing and | | | | can use to cover that care should you need it. |
| government purse strings tightening, planning for | | | | Selling your life insurance policies, called a life |
| such care has never been more important. Don't | | | | settlement, is one option. Reverse mortgages can |
| let long term care costs take you by surprise. | | | | also free up needed cash. Selling your home, |
| The gap that exists between what seniors need | | | | however unpleasant that may be, can also |
| in long term care and what Medicare and Medicaid | | | | provided needed funds. But in all of these |
| will cover is huge. Combine that with the proposed | | | | strategies it is better to leverage those proceeds |
| Congressional bill restricting Medicaid nursing home | | | | by using them to buy long term care insurance, if |
| coverage, and it's clear to see that seniors and | | | | possible. |
| those nearing retirement simply can't afford to | | | | But for now, let's consider some issues that none |
| ignore this important issue. | | | | of us like to think about, but will greatly influence |
| How you approach your long term care needs, | | | | how we each address our long term care needs. |
| which include custodial and skilled nursing in-home | | | | When someone is no longer able to care for |
| care, assisted living facilities and nursing home | | | | themselves, usually the healthy spouse, if there is |
| care, depends greatly on your economic situation. | | | | one, will take over the care. Few seniors, wealthy |
| For those with low incomes and little assets, there | | | | or not, are quick to dip into their savings to hire |
| are few choices. Most likely, should the need for | | | | nurses or other care givers to help out. |
| long term care arise, you'll quickly spend down | | | | The result is that the healthy spouse often |
| your assets and easily qualify for Medicaid. | | | | sacrifices their own health and well-being to care |
| For those with an annual incomes exceeding | | | | for the sick one. We've all seen it happen, how |
| $75,000 and with assets of $500,000 or more, | | | | the 'healthy' spouse becomes exhausted and |
| you could simply pay for it out of pocket. But | | | | emotionally spent trying to meet the |
| with nursing homes costing thousands of dollars a | | | | overwhelming needs of the other. |
| month and some seniors needing years of such | | | | If they're lucky, their adult children will step in to |
| care, even a well-lined nest egg could experience | | | | help shoulder the burden. Some families have |
| a drastic drop in value. A more prudent approach | | | | gone on like this for years, with sons and |
| would be to purchase long term care insurance | | | | daughters spoon feeding their parents and |
| and use that to pay for any long term care you | | | | changing their diapers. The emotional toll on the |
| or your spouse may need. | | | | family in these situations is indescribable. |
| The real conundrum exists for those seniors of | | | | How much easier life is when seniors take active |
| moderate means, those with incomes between | | | | steps to provide for this care properly. Then the |
| $30,000 and $50,000 who have a few hundred | | | | family can spend their emotional and physical |
| thousand dollars in assets. Long term care needs | | | | strength on cherishing their loved one, without |
| could gut your life savings and impoverish the | | | | ruining their own lives in the process. |
| healthy spouse. But long term care insurance can | | | | No one can predict with certainty how their |
| be very expensive and hard for these seniors to | | | | end-of-life will go. But the fact remains that nearly |
| afford. | | | | half of all seniors will need nursing home care. |
| Long term care insurance is complicated and there | | | | Those who don't are likely to need some kind of |
| are many issues you must understand when | | | | outside help. Plan now for how you're going to |
| considering it. My next article will be devoted | | | | provide for your long term care. Your health, and |
| purely to better understanding long term care | | | | the health of your loved ones, depends on it. |