Since 1970 we have designed, critiqued, and brokered Long-Term Care Insurance. We research and bring to you the highest rated plans for Long-Term Care Insurance in Ohio. With over 60 years of combined experience, we can provide knowledge and insight that can only be gained through experience in this market.
One in Two - Americans will need Long-Term Care at some point in their life. Long-Term Care Your Financial Planning Guide 2003
65 year olds - can expect to need an average of 3 years of formal and informal long-term care, and 20% can expect to need more than 5 years. Kemper, Penn State University, Inquiry 2006
21% - Of Americans who are either caring for an aging parent now or have had to do so in the past. CBS News Poll (Feb. 07)
50% Proportion of population 85 and older will require help with activities of daily living.WallStreet Journal Online (Feb. 07)
LTC Myth #2: I can afford It...
Current Care Costs
Nursing Homes - Nationally the average annual cost for a private room in a nursing home is $70,912 ($62,532 semi-private). Average length of stay - 2.6 yrs.Care Scout 2005
Home Care - $18-$20 per hour – $52,000 annually @ 8 hrs per day, the average duration for receiving home care is 4.3 years. National Alliance for Caregiving and AARP 2004
Assisted Living Facilities - average $34,860 + per year. Average length of stay is approximately 3 years. MetLife Mature Market Survey 2005
LTC Myth #3: Medicare Covers LTC
The devils in the details!
The Facts On Medicare... Medicare only covers skilled care – care defined as; services provided by or under the supervision of technical or professional personnel, and:
Must be rehabilitative care with ascertainable goals.
Which represents a small percentage of the care needs in Ohio
Maximum nursing home benefit is 100 days.
Average pay-out is less than 30 days.
LTC Myth #4: Medicaid will pay…
It will pay - after you’ve exhausted most of your assets.
Medicaid limits your choices - usually to a Nursing Home.
I’ll give my money away and get Medicaid – Medicaid has a 60 month look back period on transferred assets. If caught there is a penalty period.
You typically must use the facility that Medicaid directs you to use.
You may want to stay at home or go to an Assisted Living Facility.
Medicaid pays less to facilities than it costs to provide care.
Estate Recovery - REQUIRES Medicaid to recoup assets from your estate at death.
Other Popular LTC Misconceptions…
Prenuptial agreements protect my assets from long-term care costs my spouse may incur. – False. Medicaid does not recognize pre nuptial agreements. When you are married the assets of both are considered for “spend down” purposes.
Living Trusts protect my assets from long-term care costs. – False. Irrevocable trusts can protect assets from LTC costs, but are subject to the 60 month look back period. Living Trusts are not designed for long-term care asset protection from Medicaid.