If you’re planning for the future, a discussion about the appropriate types of insurance to get will inevitably come up. However, the discussion usually focuses on health insurance and life insurance. But if you’re planning for your retirement, you should look into considering long term care insurance, because it can provide a great deal of security for you should you need any type of care.
Planning for Retirement
If you’re planning for retirement, the most basic calculation you are looking at is how much income you will have (from Social Security, retirement plans, pensions, etc.), versus an estimate of what your expenses will be. However, most people tend to estimate their expenses on being healthy, and tend to forget budgeting in the cost of care. And the scary part is that the US Department of Health and Human Services estimates that 40% of individuals over the age of 65 will require some type of long term care. As such, this should play an important part in your budget.
How Long Term Care Insurance Fits In
Now that you’re thinking about the cost of care in retirement, you may start to realize how expensive it is. There are many different levels of care that could be required: from once a week nursing check-ins, to full time care in a nursing home – and all types of care in between. As such, it can be very hard to put an exact number on the amount to budget – it’s just a large amount.
That is where long term care insurance fits in. You can buy this insurance product to help you be able to afford the cost of care. Now, instead of trying to budget for the unexpected, you can budget a set amount for the premiums for your long term care insurance, and know that if you do need any type of long term care, your insurance plan will cover the costs up to the set amount. Now, the only decision you will have is deciding what type of long term care policy to get.