Long term care insurance is designed to cover expenses and services not provided by health insurance, Medicare, or Medicaid. It helps individuals manage the costs associated with long-term care, which is essential for those requiring assistance with daily living activities.
What is Long Term Care Insurance?
Long-term care insurance (LTC or LTCI) is an insurance product that helps cover the costs of long-term care beyond a predetermined benefit period. This type of insurance addresses needs that standard health insurance does not typically cover. Individuals requiring long-term care may not be sick in the traditional sense; rather, they may struggle with basic activities of daily living (ADLs) like dressing, bathing, eating, toileting, continence, transferring, and walking.
Benefits of Long Term Care Insurance
| Benefit | Description |
|---|---|
| Comprehensive Coverage | Covers various care options, including home care, assisted living, adult daycare, respite care, nursing homes, and Alzheimer’s facilities. |
| Immediate Home Care Coverage | If home care is included, coverage can begin from the first day it is needed, providing funds for caregivers, companions, housekeepers, therapists, or private duty nurses 24/7. |
| Financial Protection for Families | Reduces the need to rely on family members for support and protects personal savings from depleting due to care costs. |
| Tax Advantages | Premiums may be eligible for income tax deductions based on the covered person’s age. Benefits paid are generally excluded from taxable income. |
| Business Deductions | Premiums paid by corporations for employees may be 100% deductible if not included in the employee’s taxable income. |
Medicaid Considerations
While Medicaid provides some benefits similar to long-term care insurance, it primarily serves those with limited resources who require nursing home care without covering home care or assisted living costs. People often prefer to receive care in their homes or in private rooms at assisted living facilities, making long-term care insurance an attractive option.
If you’re interested in obtaining a quote or learning more about long-term care insurance options tailored to your needs, feel free to reach out:
- Phone: (855) 543-6476
- Atlanta Office: One Glenlake Parkway, Suite 650 and 700, Atlanta, GA 30328
- Bridgeport Office: 1000 Lafayette Blvd, Suite 11, Bridgeport, CT 06604
- Email: Contact Us
Would you like information on how long-term care insurance compares to other types of insurance?