Long-term care insurance has always been a hot topic in the insurance industry. Essentially, because Medicare does not cover long-term care with the exception of doctor-prescribed instances, paying for long-term care can be a big challenge.
While many Americans have family members who can lend a helping hand, this is not always possible. According to the AARP, you should consider your ultimate financial goals as well as your age and health when shopping for long-term care insurance.
Depending on your financial situation and assets, long-term care insurance may not be 100% necessary. Some people are well-off enough to be able to cover long-term care on their own, and others may have a second house to sell in order to raise the funds.
It also depends on your ultimate goals. Is it important to you to leave money and assets behind for other family members? Long-term care insurance can help you achieve this.
Your age and health
The older you are when you start shopping for long-term care insurance, the more expensive it will become. In many cases, insurance companies will require that you undergo a medical examination before insuring you. If you are already struggling with memory issues or completing daily tasks, it is possible that companies will not insure you. Some people start shopping for long-term care insurance in their early 60s, but it may be wiser to start in your 50s in order to get the best rates.
Not every American requires long-term care insurance, particularly if they have enough personal wealth to pay for it. However, it is important to take some time to think about the help you may need as you age.