Chris's thoughts on Long-Term Care Insurance

As a professional committed to helping my clients protect themselves against the risks of long-term care, I encourage you to consider this topic and begin planning your future.

Long-Term Care insurance is often overlooked. Many people put off making a decision to buy or not to buy until it's too late. However, if your liquid assets are less than $3 million, but more than $70,000 (outside of your personal residence), you should seriously consider long-term care insurance. The decision to buy, or not to buy, should not wait. As time passes, the cost of obtaining this coverage only increases, and also becomes more difficult to qualify for with certain health conditions.

I recommend that individuals begin addressing the question of long-term care insurance in their mid-50s to mid-60s. The first step for potential buyers is to consider their retirement income stream against the average monthly cost of long-term care in their area. This evaluation helps to decide how much coverage one should purchase. For instance, you should evaluate social security income, CD interest, 401(k) disbursements, etc. Will this cover the average cost of long-term care in your area (Georgia = $4106 per month, average), without liquidating any of your assets?

I consider this an excellent type of coverage, even though most people will not appreciate having it at first, for few people will experience the benefits right away. Once they reach their late 70s or 80s, or if they watch a family member spending down their assets, the benefits begin to make sense.

When making the decision to purchase long-term care insurance consider the following information:

• Medicare (part A) only covers skilled nursing home and skilled home health care. This is only after a hospital stay and is applicable only for short-term, recuperative care, not maintenance. (Approximately 100 days).
• Medicaid (Not Medicare) usually will not pay for Custodial Home Health Care or assisted living.
• In order to qualify for Medicaid, you can keep just a few assets outside of your home.
• Medicaid practices asset recovery: they can put a lien on your house and recoup their costs from the sale of your house at death.
• Medicaid looks back on moving assets in the last 5 years from the application date.

Please contact me, at (800) 866-8950 and I will try to help you choose a policy that will meet your budget and covers your risk. If you think you should have this coverage, don't wait to get it.

I am appointed with several companies such as John Hancock and Genworth for Long Term Care Insurance. I will shop for the best plan for your needs.