What’s the difference between long-term care insurance vs. medical insurance?

Long-term care insurance is for people who develop permanent cognitive problems like Alzheimer’s disease or other chronic conditions who need help with basic daily tasks like bathing or dressing. It will help pay for home care, adult day care, or assisted-living facility or a nursing home. Neither Medicare nor health insurance cover such costs for the chronically ill.
How does it work?

Policies generally pay a set rate per day, week or month — say, up to $1,400 a week for home care aides. Before buying a policy, ask which services it covers and how much it pays out for each kind of care, such as a nursing home, an assisted-living facility, a home personal care service or adult day care. Some policies will pay family members who are providing the care; ask who qualifies as a family member and if the policy pays for their training.

You should check to see if benefits are increased to take inflation into account, and by how much. Ask about the maximum amount the policy will pay out and if the benefits can be shared by a domestic partner or spouse.

For answers to questions such as the difference between long-term care insurance vs. medical insurance, consult with a Certified Long Term Care specialist like Jim Better: www.calendly.com/jimbetter. Find more resources in our blog.

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