Need for Long-Term Care Insurance
Estate planning for seniors should involve more than drafting a will to ensure an individual’s assets are distributed according to their wishes. When planning, seniors should address their potential future needs for continuing medical care. For many, this means obtaining insurance to cover the rising costs of nursing home and assisted living facilities. The expenses associated with long-term care can be significant. To ensure there are enough funds to cover the type and quality of care desired, it is important to make long-term care insurance an important part of any estate plan.
Coverage Provided by Long-Term Care Insurance
Long-term care insurance provides coverage for health care costs associated with nursing homes, assisted living facilities, and home health care expenses. As with car or homeowner’s insurance, individuals typically pay a monthly or yearly premium for a benefit which may not ever be used. The amount of the premium varies according to several factors, including one’s age and health history.
Costs covered by long-term care insurance can include:
- Nursing home expenses
- Assisted living facility expenses
- In-home health aide services
- Adult day care
- Hospice services
- Skilled nursing facility expenses
Not every insurance policy covers all long-term care expenses. Individuals should investigate the available coverage of each policy when determining the right choice for them.
Most long-term care insurance benefits do not begin until an individual has met a certain threshold of incapacity. To determine when long-term care benefits start, insurance companies examine an individual’s ability to engage in the main activities of daily living. These include feeding, dressing, walking, bathing, toileting, and transferring oneself in and out of bed. The diagnosis of a severe cognitive impairment, such as dementia or Alzheimer’s disease, may trigger benefits under long-term care insurance policies.
These policies will have a lifetime or maximum benefit limit after which no additional payments will be made. Some policies will list a daily benefit amount indicating the maximum amount that will be paid per day for services.
Advantages of Long-Term Care Insurance
Many seniors wish to avoid spending their last days in a nursing home or hospital ward. Through long-term care insurance, many individuals can remain in their home. Since this type of insurance also covers in-home care and fees for assisted living communities, older individuals can use this insurance to receive care in their own home.
Determining Insurance Needs
With many insurance options available to seniors today, it can be difficult to choose the right insurance policy for one’s needs. In addition to the major long-term care insurance carriers, such as MetLife, Unum, or Prudential, there are smaller companies providing similar services with competitive rates. With the assistance of an experienced Brooklyn elder law lawyer, older individuals can create a comprehensive financial plan, which includes long-term insurance when necessary.
Brooklyn Elder Law Lawyers at Korsinsky & Klein, LLP Help Seniors with Estate Planning Needs
At Korsinsky & Klein, LLP, our experienced Brooklyn elder law lawyers assist seniors and their families with all their estate planning needs, including the drafting of living wills and trusts, and obtaining long-term insurance. With offices conveniently located in Brooklyn, New York, and Lakewood, New Jersey, we are proud to serve seniors throughout Manhattan, Long Island, and Westchester, New York. To schedule an appointment today, call us at 212-495-8133 or contact us online.