Long Term Care Insurance

What is Long-Term Care Insurance (LTCi)?

Long-Term Care Insurance is an additional form of Health Insurance that provides the finances necessary to provide for daily care when you are unable to perform at least 2 of the 6 Activities of Daily Living (ADLs) for a period of at least 90 days.
Who needs Long-Term Care (LTC)?  
You may be surprised to learn that millions of people of all ages need long-term care.  
As a matter of fact:  "Forty (40) percent of people currently receiving long-term care are adults 18 to 64 years old." *
"Factors that increase your risk of needing Long-Term Care are:
  • Age - The risk generally increases as you get older.
  • Marital Status - Single people are more likely to need care from a paid provider.
  • Gender - Women are at a higher risk than men, primarily because they tend to live longer.
  • Lifestyle - Poor diet and exercise habits can increase your risk.
  • Health and Family History - also impact your risk" *
*  info. from the U.S. Department of Health & Human Services website:   www.longtermcare.gov

The Six Activities of Daily Living (ADLs)




If a doctor determines that you are physically or mentally incapable of fully  dressing and undressing yourself, this would count as one of the the two ADLs toward your ability to receive the benefits of long term care insurance.
Again, if a doctor determines that you are unable to bathe yourself, and to get in and out of a bathtub or shower by yourself would be too risky because it could put you in danger, then this would count as one of the two ADLs.
If you are no longer able to feed yourself (may include feeding tubes or intravenously) then this basic necessity of life counts as one of the two ADL requirements for Long Term Care insurance.




Some people need help getting to and from, as well as on and off, a commode.   Plus they need help in cleaning themselves and other related tasks.  
The inability to maintain control of bowel and bladder function, and to perform necessary associated personal hygiene without aide from others, would qualify as one of the six ADLs
If a person needs assistance to move in and out of a chair, a wheelchair, or a bed, then that person is unable to transfer safely on his/her own.
The Right Policy

Long Term Care does NOT necessarily mean "Nursing Home" Care.  With the right policy, Long Term Care can take place in the comfort of your own home.  That way, the need to leave your home (or maybe even sell your home) can be an absolute last resort.

If your physical problems are short-term (i.e. from a temporary illness or accident) then long-term care insurance will not pay; however, disability or critical care insurance will pay - so it could be important to have both types of coverage.
Annual Cost of Care

Nursing Home 


Genworth Financial recently completed their 2015 Cost of Care Survey for the nation.
Prices varied tremendously based upon the type of long term care received, as well as where the care is received.   The figures provided here are median costs nationwide.

To find costs within a particular city or state, and to learn more:
Compare Long Term Care Cost Across the U.S. 

Home Health Aide2


Adult Day Health Care1


Assisted Living Facility3


1 Based on 5 days per week by 52 weeks
2 Based on 44 hours per week by 52 weeks
3 Based on 12 months of care, private, one bedroom
4 Based on 365 days of care; Semi-private room
How much does Long Term Care insurance cost? 

A 40 yr old in near perfect health may acquire a LTCi policy for $100/month.  Expect rates to increase with age, poor health, and greater coverage - but even $200, $300, $400+ per month is better than paying $3000-$7000 out of pocket every month for years.

NOTEWORTHY:   It is possible to acquire other types of policies (life or annuity) with long term care or chronic riders which allow the person insured to receive additional benefits if he/she can not perform 2 or more of the 6 ADLs.  A paid-in-full permanent life insurance policy, or unused annuity, may be exchanged for a new policy with built in long-term care coverage at no cost to you! 
Can I be turned down for coverage?

Yes indeed.  That is why it's better to get coverage while you are healthy, or semi-healthy, and can budget monthly premiums.

Remember:   When you look at "average" prices for your city and state, do you want to receive "average", or below average, or above average care?  What have you done to ensure you receive that type of treatment?

Let us find or design a plan that works within your budget for your peace of mind "just in case" something tragic happens to you or someone in your family.   
Don't Qualify for LTCi?
There are options and alternatives to consider
Long Term Care Funding may be an option worth looking into.   Way too many people let their life insurance policy lapse because they can not afford the premiums.  Little do they realize that it could have provided much needed funds while they are still alive - even if the policy has no cash value.

Watch and rewatch this short video to understand the concept.

CLICK HERE for alternatives to Long Term Care insurance.

Be sure to let other people know "There are options."
Zero Cost LTC
Protect Your Wealth from Poor Health™
Another way to pay for long term care is by repositioning money from savings.  You may or may not need long term care coverage, so why not acquire an insurance policy that can perform more than one function?  

A policy can provide additional monies for long term care if you need it, or "B" if something else happens in your life, or "C" in the event of an emergency, or "D" if you die.   It's called covering your bases ... strategically!

Watch and listen to this short 2 minute video from Mark Dice.
If you like this concept, be sure to let us know.