Article Sphere Logo
 

How To Know If You Need Long Term Care Insurance

By Expert Author: John Rhoades | Article Abstract
Word Count: 447 words | Views: 315 view(s)
There’s some piece of advice among financial experts that should be well taken to heart: do not over-insure, and insure only based on your needs. If you’re still young, for example, you’re better off taking out a term life insurance policy and investing the rest of your savings in high-yielding financial instruments like the stock market.

This brings most of us to the single most important point: when should you take out a long-term care insurance policy?

Deciding on whether you need long-term care insurance depends, for the most part, on where you are in your finances. If you only have low income to speak of and you are already at the retirement age, then you’re better off staying at a nursing with Medicaid paying the cost of your stay. Since Medicaid is a federal and state program that is paying for nearly half the cost of America’s nursing homes.

But if you’re a reasonably financially well-off person, yet you don’t want old age getting in the way of your lifestyle, then you might ant to consider taking out a long-term care insurance policy. However, long term care insurance is not something you want to spend for, without considering the other items on your budget, because:

• You pay for high premiums
• Your premiums may increase over the years
• You pay for some expenses from out of your own pocket
• You lose benefits with a lapsed policy and without a non-forfeiture protection

There are some uncertainties in life that may make you think twice about long term care insurance. You might just meet your end in an accident. If that doesn’t happen, and hopefully it never does, here some things to consider, to determine if you really need long-term care insurance.

Your Family’s History

Does your family have a history of heart diseases, diabetes or Alzheimer's? Did close relatives fall early because of those diseases?

Your Family’s Current Situation

If right now you needed help in getting dressed or in bathing, would any of your immediate relatives be available to help you out?

Your Own Finances

According to the United Seniors Health Cooperative, a non-profit organization based in Washington, DC, people should only consider long term care insurance IF they have (a) at least $75,000 in savings, or (b) at least $35,000 in annual income (in retirement).

The figures indicate that you should only think about long-term care insurance if you enough money that paying for the premiums does not affect your current lifestyle. If this isn’t the case, the best route to take is to put your money where it will earn interest, pay for professional healthcare only if needed, and if necessary, qualify for Medicaid.
John Rhoades

About the Author/Author Bio

Visit the website http://www.bestlongtermcarequote.com for more information on long term care insurance.

Article Source: http://www.articlesphere.com/Article/How-To-Know-If-You-Need-Long-Term-Care-Insurance/131499

Article Submitted: 2008-03-20 | This Article has been viewed 315 times.

Rate Article

Related Videos

Long-Term Care Insurance
How Much Long-Term Care Insurance
Long Term Care Insurance
How to Afford Short Term Insurance with Only 6-12 Months before Medicare
Learn about Term Insurance
 

More "Insurance" Related Articles

 
 

Listed below are more articles related to the above article from the "Insurance" article category.

People interested in the above article "How To Know If You Need Long Term Care Insurance" are also interested in the related articles listed below:

 
Intego is a nationwide, experienced, specialized, and focused agency. We offer the finest industry products using the most sophisticated web-based technology and back them with unparalleled customer service. Let us show you how this powerful combination can improve your business process-giving you more time to build your business and keep your customers happy.
Debt reduction law centers appear to be on a relatively better position than insurance companies especially with the ongoing recession. When it comes to finances at this day and age, being young and single often means there's a huge possibility that you are preoccupied about getting rid of your debt or saving your home rather than thinking about your insurance coverage. This is often due to a widespread belief that right now, insurance is one of a young person's least important concerns and that it is not quite practical to acquire it in the middle of an economic crisis.
Planning a wedding is something lots of girls start thinking about from a very early age! But one thing most little girls don't think about, when doodling their dream wedding dress, is insurance. Wedding insurance is perhaps not the most exciting things happy couples have to think about in the lead-up to their wedding but since weddings can cost between •£15,000 and •£25,000, it's an important to detail to work into your plan.
Since insurance is based on the sharing of risk, your home's history could very well play a significant part in determining your insurance premium as it could increase the home's risk profile. This is not confined to risks such as burglaries, but also applies to any claims that may have been made by the previous owners.
Getting married is undoubtedly one of the busiest and most stressful times of your life. You have all sorts of arrangements to make and you have a deadline so you have to make them quickly. You probably can't think of anything other than getting married to the person of your dreams and feel you can only afford to focus on your big day. Although this is understandable, and indeed expected, you also need to consider your insurance.
In our previous articles we've approached such issues as correct cargo insurance, clauses of the insurance agreement, term of validity of the insurance agreement and factors which influence the underwriting rate. Today we'll discuss how to obtain insurance.
Water damage is one of the most common reasons that people make claims on their insurance, but do you know exactly what your insurance covers? Both flood and homeowner's insurance deal with water damage, and knowing the difference between them and what's covered by each can help you determine the right coverage for you, as well as help you determine what to do in the event of an emergency.
 
Article Directory Home All Categories Insurance
 

Can't find what you're looking for? Try Google Search!
 
Copyright © 2005 - by Larry Lim, Singapore - Article Search Engine Directory at ArticleSphere.com™
All Rights Reserved Worldwide. All Trademarks and Servicemarks are the property of the respective owners.

Afrikaans Albanian Arabic Belarusian Bulgarian Catalan Chinese (Simplified) Chinese (Traditional) Croatian Czech Danish German English Estonian Filipino Finnish French Galician Greek Hebrew Hindi Hungarian Icelandic Indonesian Irish Italiano Japanese Korean Latvian Lithuanian Macedonian Malay Maltese Dutch Norwegian Persian Polish Portuguese Romanian Russian Serbian Slovak Slovenian Spanish Swahili Swedish Thai Turkish Ukrainian Vietnamese Welsh Yiddish