Long term care - Page 5

haddon9 · ‎03-09-2010

My parents had it. They purchased the insurance many years ago when it was more affordable than today...plus the rules were a bit more generous too.

After my dad passed away over 20 years ago, my mother continued in good health until her mid 80s. She fell and broke her hip about 7 years ago and needed aides to help while recovering. I don't recall how long it was before the long term insurance kicked in...it might have been a few weeks. She used it for several months.

Once she recovered she asked me if I thought that she continue with the premiums and keep the remainder of the insurance. I told her that she should and thank goodness! She had been injured in an accident about a year after breaking her hip. A man while walking quickly tripped and fell on top of her breaking her knee and neck. After that she needed aides most of the time to be able to live at her home.

She's still in her home and continues at the age of 94 to need aides most of the time. Her insurance finally ran out a few weeks ago and it was well worth it! Now she has to pay for the aides out of her own pocket but I think she will be fine for a while.

As for me & DH, I had planed into seriously looking into it when we turned 60 but by then DH had a lot of health problems and he was no longer eligible. Also by then the rules and costs had also changed quite a bit and we felt it was no longer worth purchasing.

haddon9 · ‎03-09-2010

@Carmie wrote:
@bmorechick wrote:
My parents were always concerned about a LTC facility draining their savings and the equity in their home. They turned the house over to my siblings and I with lifetime rights. That way the home belonged to us on paper. Nothing changed for them other than it was deeded to us. They also put every monetary investment or bank account in our names. They had one bank account that their soc sec checks went into so they were literally "Poor on paper". That would have allowed Medicaid to pay for any LTC if needed, which didnt happen. My dad is still with us at 95 and manages all his own monthly bills. If he ever needs LTC, all his lifetime assets will remain, with his children as equal recipients which is what both of them always wanted. You have to protect your stuff, but this plan doesnt work for all families. We are grateful it has with ours.
Medicaid goes back five years to check to see if you gave away any assets. If you did, they will not cover your expensives until you have paid up to the market value of those assests out of your pocket.

Also even if the five year look back period has passed if one has to go into a nursing home one will have slim pickings to choose from since you can't really get into a good facility without any assets.

Ainhisg · ‎03-09-2010

I bought an annuity that features a long-term care rider. In the event that it is needed, it will pay a certain amount (I think the starting amount is $2500) toward any long-term care need. It will pay that for a certain amount of years. If it is never needed, then the annunity is right there earning interest the whole time for my use or my beneficiaries. This works for me, because I have other cash assets. Check with a financial advisor; there are many alternatives out there besides LTC insurance.

haddon9 · ‎03-09-2010

@Ainhisg My financial advisor has suggested that we do the same thing...so far we plan on doing so within the next year or two.

Ainhisg · ‎03-09-2010

@haddon9 for my particular policy, I do/did have to own it for a certain amount of years or until I reach a certain age--can't quite remember which. I'm thinking it is 59 1/2, which I am 58 1/2 right now or maybe it was 5 years...just not sure. At any rate, I will reach either of those times next year. So you might check on that, as in that case, you might want to get it sooner rather than later.

deeva · ‎03-09-2010

Something else to consider before buy LTC, you have a physical exam before they will sell you a policy. And as we age, we may have additional health issues.

patbz · ‎03-10-2010

@haddon9 : If my financial advisor even suggested this strategy I'd fire him/ her. Its like telling me to steal ( which what hiding your assets is, plain and simple). As another poster mentioned, even if this strategy succeeds, your choice of facilities will be limited and I guarantee you will have a roommate. When my mother went into a home, they wanted to give her a roomy, their choice would say " my leg, my leg" all day and into the night. While I have sympathy for that lady's plight, I wouldn't put my mom through it so we paid additional so that she got a private room and we hired our own aide who acted as her companion and advocate during mom's waking hours.

CelticCrafter · ‎03-09-2010

@deeva wrote:
Something else to consider before buy LTC, you have a physical exam before they will sell you a policy. And as we age, we may have additional health issues.

Not true, we just bought it a month ago. They did ask medical questions but no physical exam.

haddon9 · ‎03-09-2010

@patbz wrote:
@haddon9 : If my financial advisor even suggested this strategy I'd fire him/ her. Its like telling me to steal ( which what hiding your assets is, plain and simple). As another poster mentioned, even if this strategy succeeds, your choice of facilities will be limited and I guarantee you will have a roommate. When my mother went into a home, they wanted to give her a roomy, their choice would say " my leg, my leg" all day and into the night. While I have sympathy for that lady's plight, I wouldn't put my mom through it so we paid additional so that she got a private room and we hired our own aide who acted as her companion and advocate during mom's waking hours.

@patbz I agree it is wrong. It's expecting that the government (or taxpayer) pay for your nursing home needs while you hide your money.

The suggestion that I mentioned that my financial advisor wants me to get is an annuity that features a long-term care rider. I would purchase that myself rather than buying a long term insurance policy which makes more sense right now.

Growing · ‎07-12-2020

There is generally not a state or federal government plan that pays family caregivers but maybe in some states Medicaid will do this. Medicare doesn't generally pay for in home care. Medicaid in some states will pay for certain non family caregivers under certain circumstances. Not everyone qualifies for Medicaid. You could get some quotes on LTC insurance plans. They are no longer cheap because the cot of skilled facilities has gone up and up and up. You want to know the details as these can pay little or be a good deal. But if you stop paying or the premium becomes cost prohibitive in the future, you will have wasted your money. You can google the cost of assisted living, memory care, and nursing home care in your area. Don't take a salesperson's word for what is in a potential plan. And know the price WILL go up each year like everything else.