David HaynesDavid Haynes, CLTC, is an independent insurance broker specializing in long-term care insurance planning. Contact David at 336-314-1698 or david@haynesltc.com.
Interesting Fact: The tiny slit opposite your sipping hole on the coffee cup lid is a 1980’s creation that allows proper airflow preventing splashes and liquid surges as you drink avoiding scalding yourself. That tiny unnoticed idea placed for a reason is to assist your drinking pleasure. A properly designed long term care plan (the lid) may seem small in the grandeur of financial planning but its’ absence is very real at the time of an event. An unexpected turn of health (a hot splash) can cause consequences that one may never financially recover from. Simply put, as you age, your body may require a variety of care options that come at a cost from an accident or a progressive debilitating illness. As you enjoy life today (that fresh cup of coffee), the thought of an extended care event is not on most of our life radars but you still need to plan if and/or when that event could occur.
The reality of payment for services of care in the home or a facility is “cash”. Health insurance and Medicare do not pay for long term care expenses. A properly designed long term care policy is for those who have plans for a long health lifestyle with some assurance that assets can be protected and family members can manage the care instead of providing it. Most consumers underestimate the cost of care which can negatively accelerate the depletion of savings. It’s a simple calculation and yet for many seems too complicated. A long term care insurance policy simply creates a pool of dollars to be used to pay for care expenses.
“Long term care insurance premiums seems expensive”, is a common phrase I often hear. Well, what’s expensive is the cost of care without a policy. That is the true cost. Actually, the premiums are pennies on the dollar when you see what the outcome of the policy provides. Let’s face it, most of you reading this article do not need the benefit of a long term care policy today – you simply need the coverage. Obtain it now while you are of reasonable good health and can qualify. The findings of a doctors visit or a change in health could affect the course for you forever. If you are of the age that you are seeing now or have seen your parents struggle with a long term care event, you quickly recognize the urgency to protect yourself in turn providing peace of mind to our loved ones. Make this a year to explore options of protection.
This wonderfully designed guide provides a variety of community arrangements as you age. It also gives sound advice from the many writers to help you in your planning journey.
If you are reading and wondering if this is a discussion to consider, then it probably is. And if so, let’s talk and I’ll buy the coffee! Remember, “Don’t hope for the best, Plan for it!”