Ohio residents may not think it necessary to consider long term care planning while they are still so young and healthy as they are in their 50s. But that’s exactly the point. Long term care is a thing that becomes much more difficult to plan for and establish for those who wait until they need it. Generally speaking, there are three approaches people take when it comes to planning for long term care. They plan to rely on Medicaid or other government programs, pay for it themselves or purchase insurance policies to cover costs.
One of the primary reasons Medicaid was established is to cover individual long term care costs. This is not Medicare, which does not pay for long term care. According to an independent broker and financial agent, relying on Medicare might make sense for individuals who have less than $200,000 in total retirement assets. The broker also advised speaking to an attorney who is knowledgeable about the inner workings of Medicaid prior to making any concrete determinations.
Paying for long term care themselves is not a realistic option for most people. Individuals who plan to rely on self-funding too often underestimate both the cost of care and the likelihood that care will be necessary.
A hybrid long term care and life insurance policy is a reliable source of funds, as are long term insurance plans. Any insurance coverage comes with a price, however, in the form of premium payments until a pay-out under the policy comes due. The competitive insurance market allows for people to compare prices and policies until they arrive at a plan that fits their needs.
Individuals who are considering how to deal with long term care planning might want to schedule a meeting with an attorney who could help by examining the client’s particular circumstances and suggesting approaches to meet the client’s goals. An attorney might be able to design a comprehensive plan including insurance, government assistance and self-pay options.