January is Get Organized Month. It’s a great reminder that when we start the new year, along with all those other “resolutions,” being organized is beneficial. It doesn’t matter if you’re in high school, just out of college, middle-aged, closing in on your retirement years, or elderly; getting and staying organized can be instrumental in maintaining more safety and a higher quality of life. One part of organizing your life should involve making sure you have adequate insurance, not just for you but anyone who is dependent upon you, which may include a spouse or even an adult child who has a disability. Getting quotes for all insurances is important, including getting a long-term care insurance quote.
You may have life insurance, adequate health insurance, gap insurance, homeowner’s insurance or renter’s insurance and so forth, the one thing that easily gets overlooked by far too many people, especially as they move through their 40’s and 50’s is long-term care insurance.
What does long-term care insurance offer?
First and foremost, it provides financial assistance for you or your dependent in the event one of you requires long-term care in the future. There is usually a waiting period before a policy will begin paying out, such as a few months, but after that, if you or your spouse of many years, for example, spends time in the hospital and then needs a nursing home for, let’s say, eight months and then home care for another year and a half while they recover, how are you going to afford that?
Far too many people assume their primary health insurance is going to cover it. In truth, health insurance is only going to pay for short-term care, which equals generally about a few weeks. After that, you would have to pay for that out-of-pocket.
The next question that many people commonly pose is, “Wouldn’t Medicaid then cover it?” For somebody 67 or over, it is a reasonable assumption, but it’s not the truth. In order for Medicaid to start covering long-term care expenses (which usually leaves you no choice other than nursing home care), you would have to use up all of your available assets, including your savings and even the equity in your house before it would take over.
Looking at these realities, that’s why organization is so important.
You may have a retirement portfolio that is well diversified and doing great. You could feel confident about your retirement in a few years. However, if you have never thought about long-term care insurance, you aren’t as organized about the realities of life as you may have thought.
Now is the perfect time to sit down and go over a prospective long-term care insurance policy with an experienced agent or broker and get a long-term care insurance quote. Find somebody who has experience helping others like you, maybe in your 40’s or 50’s, possibly your early 60’s, find a long-term care insurance policy that will work for your budget, needs, family history of health issues, your personal health history, and more.
Doing this now, at the beginning of the year while you’re getting organized with everything else in your life, is a perfect way to start 2022 off on the right foot.