Pay More for Care or Less for a Policy?

0 Email Share Favorite RePublish article Tweet  Contrary to common belief, long term care premiums are not as big a hurdle to people’s finances as compared to long term care (LTC) costs.   Genworth Financial, a financial company and provider of long term care insurance (LTCI) policies, reveals in its 2012 Cost of Care Survey that the cost of LTC facilities such as assisted living facilities, adult day health care centers, and nursing homes has increased a great deal.   From $3,261 the monthly rate of a one-bedroom assisted living facility has increased 6% and thus forcing individuals who are residing in this type of facility to fork out $3,300.  

Related Coverage Do Reimbursement Policies Offer Less or More? Exterior wise, a reimbursement long term care insurance (LTCI) policy may not seem to be the best choice of long term care (LTC) plan. Aside from the fact that it pays the policyholder’s exact expenses on care, it comes with a lot of paperwork. Pay less, enjoy more A little bit of research gives you the best deal. Today, insurance of any kind is considered an investment rather than an expense. You Can Pay Less for Quality Care There is no reason to stress yourself thinking constantly about the high cost of care because with the right plan, you can easily afford it. Some people had to use up all of their assets to receive quality care because they did not ask how much does long term care insurance cost? Mobile Phones: Pay Less for More Mobile Phones now is so important to us. 

We find it so hard to pass a day without it. With a mobile phone in hand, you can do a huge mountain of things and go to an amazing number of places. However, what about those who are left with no cell phone for one reason or another? Do not worry! Now a lot of companies offer phones at a very cheap price. And there are a number of channels through whi  Semi-private rooms in nursing homes are now charging $200 per day, a 5% increase from what used to be $193 while the private rooms have a daily rate of $222, on average.   Although the rates of in-home care services remain flat, financial experts predict these are likely to increase, too, as there is greater demand for home-based care.  Research shows that out of 100 senior citizens who are 65 years old and older, 90% of them prefer to remain in their homes for as long as possible.  About 10% of them find it okay to enter an assisted living facility should it become necessary to their health care needs while only 2% can imagine themselves entering a nursing facility.    

Regardless of one’s preference of LTC setting, the bottom line is he will have to pay a big amount of money to obtain quality care.  Long Term Care Premiums   Unlike LTC costs, the price of LTCI is negotiable as it is dependent on the type of coverage which a potential policyholder wants to receive someday.  It is not always true that the annual premium of an extensive or unlimited LTCI coverage is unreasonably high.  If you apply for a policy early, perhaps before you reach the age of retirement, then your odds of clinching a less-expensive coverage are great.   Young and healthy LTCI buyers can easily lock in the good health discount of 15% or sometimes even higher, and this explains why their annual premiums are much lower than what the older policyholders are paying out every year.  

Aside from qualifying for huge premium discounts, the younger you buy your LTCI policy the less likely you are to make adjustments to your coverage just to pull down its price.   For instance, if you buy a policy with a maximum daily benefit amount of $200, three-year-benefit period, 5% compound inflation protection, and a 90-day waiting period at the age of 47 you will most probably pay $1,800 annually for its premium.  Don’t you think this is better than having to spend $43,472 each year to get help from a home health aide?   Securing an LTCI policy today will protect you and you family from the cost of care which is expected to rise fourfold in just a matter of 18 years.  Can you afford to spend $173,888 annually for a home health aide?  If your answer is a big NO, then better stick to four-figure annual long term care premiums.  

 Article Source: http://care.ezinemark.com/pay-more-for-care-or-less-for-a-policy-7d376e1c5a79.html Author Box