More and more Americans in Delaware and elsewhere are looking into the benefits of long-term care insurance. According to the American Association of Retired People, those who are 65 and older stand a 50/50 chance of needing some form of long term care.
“Long-term care” can mean a variety of different things. There are home help aides that come in either daily or occasionally to help with tasks that elderly persons may have trouble with; there are assisted living centers where residents get assistance with the tasks of daily life like bathing, cooking, and cleaning; there are memory care centers where those who have dementia get the help they need; there are nursing homes for those who require 24-hour access to care. It is very possible that you will need some sort of assistance as you age, and paying for it out-of-pocket is not cheap. Additionally, Medicare will only cover short-term care, not long-term care.
Many Americans are asking themselves if it is worth purchasing specific long-term care insurance to help cover these costs, should they manifest. The average cost of long-term care insurance per year is around $2,700 a year, which is no small chunk of change. Is the investment worth it?
The answer is: maybe. A lot depends on your savings and how robust they are. If you have a comprehensive retirement plan in place, you may be able to comfortably pass on long-term care insurance. If you are a veteran (or married to one), you may also be eligible for additional benefits through veteran’s programs.
When deciding whether to purchase long-term care insurance, you will need to consider many factors.