Long-term care: Purchasing insurance

With life expectancy rising in the U.S., many individuals are considering long-term care policies as they prepare for their golden years. Annually more than 8 million people receive support from long-term care (LTC) services.

What is long-term care? When a chronic condition or illness limits an individual’s ability to perform basic self-care tasks, such as bathing, dressing or eating, or instrumental activities of daily living, such as doing household chores, preparing meals or taking medication, LTC allows an individual to maintain an optimal level of functioning. It includes medical, social, personal, and supportive services and specialized housing required by those who cannot care for themselves.

Should you consider long-term care coverage?

Choosing a long-term care policy

When selecting LTC insurance, evaluate what the policy covers. For one, the definition of a long-term care event can differ among plans, from a condition where an individual is unable to do simple daily tasks to specific medical problems. Below are other key aspects to consider:

The LTC decision is both a medical and financial one that should include personal preference, probability and other statistics to determine the optimal choice. For any couple or individual, it requires reviewing options based on their risk tolerance and personal situation.