| A
group long-term care plan that is sponsored by an
employer can provide long-term care insurance at
affordable premiums. Buying long-term care insurance
now can lock in rates and keep costs lower when compared
to purchasing coverage when an individual is older.
Buying insurance now, an individual can keep it for
life, whatever the career direction.
Premiums are based on the fixed daily benefit, the
length of coverage and the age at the time the coverage
begins. The younger the individual is when enrolled,
the lower the premiums are for the duration of the
plan. Once an individual joins the plan, the rates
are fixed. An individual can never be singled out
for a rate increase because of age, illness or filed
claims. As long as premiums are paid and the lifetime
maximum benefit is not exhausted, coverage cannot
be canceled.
Long-term care insurance may not be for everyone.
For those who can’t afford the premiums,
have limited assets, are living “on-the-edge” financially
or have Social Security as the only source of income,
a policy should not be purchased. However, for
those with significant income and assets to protect,
or those who want to stay independent of the support
of others, a long-term care insurance policy may
make sense.
Daily benefit amount individuals may choose a plan
to pay up to either $100/day or $150 /day for care
at a nursing home or alternate care facility. The
options also provide $60 /day or $90/day for community-based
health care.
Lifetime maximum
A lifetime maximum translates into the total dollars
an individual can receive in benefits. It depends
on the maximum daily benefit amount for nursing
home care that you choose. The Christian Brothers
Employee Benefit Trust offers a two- year or
five-year option for coverage payouts.
Care assistance
Individuals might find it helpful to have a qualified
professional help them explore and understand
their long-term care alternatives. After an initial
assessment, an individual plan of care is designed
specifically for care needs. A long- term care
professional will help identify appropriate care
providers, negotiate charges and monitor the
care plan, if requested.
Inflation protection
Individuals can choose a plan that automatically
adjusts the daily benefit amount by five percent
each year that the coverage is in force. As the
cost of long- term care increases, the daily
maximum benefit increases too. For example, with
automatic benefit increase, a plan with a $100
daily benefit would pay more than $240/day after
20 years, compared to a guaranteed benefit of
$100/day.
Family coverage
Individuals may purchase long-term care insurance
for a spouse, parents, grandparents, and in-laws,
so that they can have protection, too.
|
