topic Re: Long term care costs in Wellness

Long term care costs

pggoody — Tue, 22 Sep 2015 07:59:45 GMT

I should have looked in to this sooner, but I will be turning 65 in a few months and realize that long term care is something my husband and I need. I am sure the cost is more expensive the older you enroll. Does anyone have any recommendations? Suggestions? Experience with? Pros and Cons? Any input would be appreciated. Thanks

Re: Long term care costs

sipp — Tue, 22 Sep 2015 08:42:23 GMT

You need to go to an eldercare attorney.They will show you how to save your assests should you require extra care. You can't really get proper answers from "strangers".

Re: Long term care costs

godi — Tue, 22 Sep 2015 09:39:08 GMT

Believe it or not dgluvr you as a stranger might of just helped her. Sorry for what you are going thru pggoody, I have no advice for you but, someone might.

Re: Long term care costs

Ladylaughsalot — Tue, 22 Sep 2015 11:05:03 GMT

Long-term health care insurance is exorbitant. When it comes to our health care costs as we grow older, we're caught in a catch 22. Sad, but true. Either way we go, it cost a lot if we ever get ill enough to need a nursing center or paid in-home care. Then what happens if you invest all that hard-earned money into long-term health care insurance and you never need it at all? It's gone, and you could have been enjoying life a bit more if you'd had the extra $$.

Re: Long term care costs

millieshops — Tue, 22 Sep 2015 11:18:48 GMT

At this point, I. too, would tell you - strongly - to talk with an attorney or a financial planner. LTC is expensive and getting more so because the LTC industry as a whole is having trouble making a profit in spite of steeply rising premiums. I do have a policy because as a childless single I am more likely than many others to end up needing care. My premium stayed stable for 15 years, but I just wrote my annual premium check - up 30% and it was that "little" because I reduced the inflation aspect of my benefit accumulation. They wanted a 60% increase to keep my original plan.

There is so very much we need to know before any advice beyond pushing you to get advice makes any sense. We'd need to know all kinds of things that are none of our business. A planner or attorney will look at the whole picture of your income, your assets, your health, your family health, your dependents, etc. before giving you advice.

There is also lots of good reading available assuming you can match your wants and needs to the examples they give, but knowing you are likely to spend $40,000 or more to insure yourselves before you ever start to collect, it's worth spending time and also money to know what you're doing before you buy anything.

Do NOT take advice from someone who doesn't know all that about you and don't take advice from a LTC salesperson - please.

Re: Long term care costs

Abrowneyegirl — Tue, 22 Sep 2015 11:32:56 GMT

This is a very expensive and complicated insurance, MANY have more cons than pros.

You need to find an Eldercare financial planner to review your needs and the "fine print" of such policies. This is an area that varies by state.

I have known several people who paid tens of thousands into such polices over years only to find out as they aged they could no longer afford the VERY steep premium hikes. Such a shame. There has been a lot of changes to the regulations of many of these policies.

Re: Long term care costs

nycgrl — Tue, 22 Sep 2015 12:32:19 GMT

@millieshops wrote:
At this point, I. too, would tell you - strongly - to talk with an attorney or a financial planner. LTC is expensive and getting more so because the LTC industry as a whole is having trouble making a profit in spite of steeply rising premiums. I do have a policy because as a childless single I am more likely than many others to end up needing care. My premium stayed stable for 15 years, but I just wrote my annual premium check - up 30% and it was that "little" because I reduced the inflation aspect of my benefit accumulation. They wanted a 60% increase to keep my original plan.

There is so very much we need to know before any advice beyond pushing you to get advice makes any sense. We'd need to know all kinds of things that are none of our business. A planner or attorney will look at the whole picture of your income, your assets, your health, your family health, your dependents, etc. before giving you advice.

There is also lots of good reading available assuming you can match your wants and needs to the examples they give, but knowing you are likely to spend $40,000 or more to insure yourselves before you ever start to collect, it's worth spending time and also money to know what you're doing before you buy anything.

Do NOT take advice from someone who doesn't know all that about you and don't take advice from a LTC salesperson - please.

I agree. I took a very minimal policy out in my late 30's through my employer and it was a portable policy. I am now in my latter 50's. I keep it because I too am single and may well need it someday with no one to care for me. My premium has gone up in increments over the last two years - each year 20-25% until 2017. Then I hope it will stop. However, I feel it is worth it because the policy is not just for when you are a senior needing care, but if you get sick and can't work, have an accident, anything that requires exactly what it states "long term care". One hopes you never need to use it, but having it makes me more comfortable. Yes, I'd rather have all that $$$ in my bank account, but if the day ever comes when I am incapacitated (and I hope I never am) I will be happy to have that little extra.

Re: Long term care costs

violann — Tue, 22 Sep 2015 12:40:55 GMT

We paid nearly a million dollars to pay for my mother's care in the 6 1/2 years following her broken hip.

DH wanted LTC insurance and we have it. The cost of MY policy was reduced by about half when I lost weight.

Whatever you decide to do, take all the steps you can to be as healthy as possible as you age.

Re: Long term care costs

millieshops — Tue, 22 Sep 2015 12:44:52 GMT

@Ladylaughsalot- Yes, you could use the insurance money elsewhere, but isn't that true for all insurances? For example, I've been paying for car insurance for just over 50 years now. I have no idea what the total cost for that coverage has been to date, but I can state with certainty that I'm unlikely ever to recover anything near what I've spent to date and with any luck with my eyesight, I will pay another $15,000 or so before I have to give up driving. Also with luck, I'll never recover a penny of those dollars either.

But - the underlying truth of your post is good because some people need LTC and some don't. Too many don't understand which category they're in and why.

One general rule is that if you have to scounge to find the money to pay the premiums, you PROBABLY should not buy LTC.

Re: Long term care costs

Tinkrbl44 — Tue, 22 Sep 2015 15:28:36 GMT

@Charm wrote:
Long-term health care insurance is exorbitant. When it comes to our health care costs as we grow older, we're caught in a catch 22. Sad, but true. Either way we go, it cost a lot if we ever get ill enough to need a nursing center or paid in-home care. Then what happens if you invest all that hard-earned money into long-term health care insurance and you never need it at all? It's gone, and you could have been enjoying life a bit more if you'd had the extra $$.

No one has a crystal ball, but I bet you have auto insurance and home owners (or renters) insurance because something "might" happen! Are you recommending to drop auto and home insurance, too?

The purpose of LTC insurance is to protect assets ......... many people with modest assets will simply "spend down" and then go on Medicaid.

Only a financial advisor can help determine whether this is a good choice.

Re: Long term care costs

Tinkrbl44 — Tue, 22 Sep 2015 15:33:15 GMT

Gals, LTC is a women's issue ...... since, statistically, men live 7 years less than women, a common couple "scenario" is that the husband's health fails and the wife is the caregiver .... then, after his death, at some point she needs care and who takes care of her? Is she supposed to hope some relative will take her in?

Women living longer need to consider this ..... hope this helps.

Re: Long term care costs

Another new name Sue — Tue, 22 Sep 2015 15:37:16 GMT

Another angle to this is that if you have health issues, insurers might decline you. You have to fill out forms and give your health history. They don't want to insure anyone who might actually need to use the insurance.

Re: Long term care costs

LilacTree — Tue, 22 Sep 2015 16:27:30 GMT

While I was still in my early 50s, our firm offered LTC care to its employees. I was a divorced working mother, still supporting one of my children at the time and helping to support two grandchildren who were living with me.

I joined the plan and paid into it until and after retirement. Then I came down with RA and other autoimmune illnesses which have made me disabled. I filed for benefits with the LTC company (the first in the plan to do so in that firm).

Once I was able to prove my claims, my LTC benefits were approved and I have been receiving benefits now for over six years. My policy is for an "indefinite" period of time and my family is allowed to provide my care in my home. It was the best decision I ever made, as my medical care, at home, is ensured for however long I live.

I know it is different now, as it hasn't been as profitable for the insurance companies as they thought it would and many have dropped the LTC plans altogether. I was lucky, for once.

However, my life insurance company is threatening me every year with cancellation of my life insurance policy and raising the premium as well because they say it is costing them more to manage my account since I turned 75 two years ago. So I'm getting it from them. My premium has tripled in the last three years. I expect a new letter from them any day with the same threat. I have put too much money into that policy to let this happen, so it's a race against time whether I will die before the policy lapses. I contacted the State Insurance Commission about this issue and they did nothing for me. They are in bed with the insurance companies.

In short, insurance companies don't like it when they're not making huge profits.

Re: Long term care costs

cater — Tue, 22 Sep 2015 16:50:11 GMT

Lilac ,I am in the same mess you are with the life insurance policy. My mess is the result to listening to a agent from Met. Life who told me to change my policy years ago. turns out now it is worth less unless I pay the increased premiums every year. I just got a letter from them they want almost $500. now and they are still raising my monthly payment on top of this. I have been paying these increased payments for over 3 years. The guy who sold me this policy is no longer with them good thing I would have plenty to say to him.

Re: Long term care costs

LilacTree — Tue, 22 Sep 2015 17:45:21 GMT

@cater wrote:
Lilac ,I am in the same mess you are with the life insurance policy. My mess is the result to listening to a agent from Met. Life who told me to change my policy years ago. turns out now it is worth less unless I pay the increased premiums every year. I just got a letter from them they want almost $500. now and they are still raising my monthly payment on top of this. I have been paying these increased payments for over 3 years. The guy who sold me this policy is no longer with them good thing I would have plenty to say to him.

Yes, exactly the same "con." We're getting old and they don't want to have to pay out. I know I bought a whole life policy and they are insisting I bought a stock market-related investment policy. I know I did not, but cannot prove it.

They also said the guy who sold me the policy hasn't been with them for "years." My copy of the policy is not the same as theirs, which is dated six years later than when I bought it. They have a "signature page" with my signature on it changing the policy. I never did so, and if I did, I obviously fell for someone's con. As I said, I filed a complaint with the State and after many, many months, the State informed me the insurance company was in the right. So I have the Sword of Damocles hanging over my head and, as I said, a race against time. I try not to think about it anymore because when I do, it makes me crazy.

Re: Long term care costs

Lucky Charm — Tue, 22 Sep 2015 18:53:24 GMT

I got mine in my early 50's and last years premium was around $1600. We pay in one lump so as to save as opposed to bi annually or quarterly.

Off the top of my head the amount per month is $5,000 for 5 years coverage, I think.

It can be 'broken up' if needed such as if I needed in home care or even rehab care for a few months, but was able to recover, I would use a small portion, but have the duration of the 5 years.

My bill comes around the end of the year and it's only increased a little each time, never stayed the same.

But even if it doubled, it would still be worth it for me.

My husband has a policy, but with another company, but pretty much the same.

My parents didn't get theirs till they were in their 70's and the cost was not too expensive. They went through a senior group they belong to I believe.

If you belong to any senior groups or church or even a credit union, inquire if they have any group rates or at least someone you can talk to.

Re: Long term care costs

lulu2 — Tue, 22 Sep 2015 19:41:27 GMT

@pggoody wrote:
I should have looked in to this sooner, but I will be turning 65 in a few months and realize that long term care is something my husband and I need. I am sure the cost is more expensive the older you enroll. Does anyone have any recommendations? Suggestions? Experience with? Pros and Cons? Any input would be appreciated. Thanks

At 65, a new policy will be pricey. My husband is 66 and I will be 65 in December. We looked into LTC insurance about 15 years ago. He was able to get it, but I could not due to my health history. The annual premiums were not too bad but a few years ago they suddenly doubled. He chose to cancel his policy.

I would consult an expert and not just a broker. My FIL has a policy that was initiated at least 35 years ago. He is 92 and homebound but refuses to allow a stranger to care for him. He now lives with his daughter who cares for all his needs. His policy will not pay anything unless there is a certified homecare provider. For whatever reason my SIL refuses to try to get the certification. So all these years of paying (and he is still paying) for LTC insurance has been nothing more than good money after bad money.

Re: Long term care costs

Tinkrbl44 — Tue, 22 Sep 2015 23:24:48 GMT

One more thing comes to mind .... if you buy a LTC policy, it's a waste of $$ unless you also get the INFLATION RIDER .... some states still let you purchase it without that rider, and some are now making it mandatory. They are usually a 3% or 5% increase per year.

If you buy something that's good for today's prices, but don't need it for 10-15 years, without the inflation rider, it won't go very far.

Re: Long term care costs

151949 — Wed, 23 Sep 2015 14:09:45 GMT

Our post hospital care insurance (LTC) costs us $90/month for the 2 of us. It covers all post hospital care like home health aides, or home PT or nursing home care. I have used it for home PT when I had knee surgery, it reimbursed me for the copay on my PT. Our policy was through AARP and is with Met Life. It pays up to $300,000 a year. We both started when we were 50 as that keeps the monthly cost down. Now at 66 and 71 we have quite a bit invested in it but we feel assured they will care for us when we need them. There is a limit built into this policy to prevent them from raising the premium too much.It is why we chose this company.

Re: Long term care costs

ebf — Wed, 23 Sep 2015 14:17:55 GMT

yes very important to get. it is higher at 65 but it works out in the end. my mother has it and is using it living in an asst living facility. i also have it for future use (got it at 65)

i bought from my son who is in finance

hope this helps