| LONG TERM CARE Americans are living longer than ever. Nearly half of the people age 65 and older may spend some time in a Nursing Home. The question is ... who will pay for such care? Consumers and their families largely pay for Long Term Care services. Medicare pays for only skilled care while in reality … most Long Term Care is custodial in nature. Medicaid does pay for 40% of nursing home expenses, but only when there is financial need. Federal legislation, effective January 1, 1997, allows premiums paid for Qualified Long Term Care Insurance to be deductible as a medical expense for Federal Income Tax purposes, up to specified limits. Long term care benefits are payable if you are assessed to be chronically ill, you are receiving covered services and your Elimination Period is satisfied. For this coverage, assessment begins with an evaluation by a Licensed Health Care Practitioner (MD, RN or Social Worker). This evaluation is to confirm that: 1. You are unable to perform (without substantial assistance from another individual) at least two of the Activities of Daily Living shown below, for a period of at least 90 days. These Activities of Daily Living (ADLs) are:
2. You require substantial supervision to protect yourself from threats to health and safety due to a severe Cognitive Impairment. What Services May Be Covered?
What Type of Policy Should You Choose? Each individual should
assess his or her needs. Long Term Care policies fluctuate greatly
in price, depending on the amount of daily benefit, length of elimination
period, duration of benefit, level of coverage and age of health
of applicant. Evaluate policies from various carriers before purchasing
Long Term Care.
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