Long term care insurance is for people who need extended medical care. It covers out of pocket expenses that traditional medical insurance does not. Types of treatment that fall into this category include assisted living facilities, nursing homes and extended hospital stays. Not only does traditional medical insurance not pay for these expenses, but neither does Medicare or Medicaid. In other words, this insurance is to fill the gap that remains when your insurance is spent.
Most policyholders are people who have experienced a traumatic physical event. They are no longer able to take care of themselves or at least need help with their daily living activities.
Some policies allow dependents of the policyholder to benefit from the insurance as well.
When it’s determined you are eligible for long term insurance, the healthcare provider will work with your insurance company. The way it works is your traditional health insurance policy does its part. The long-term care insurance coverage then pays the percentage that it has promised to pay. Any reaming expenses will have to be paid by the policyholder to the medical facility.
Some employers offer long-term insurance as part of a benefits package. When a policy is available this way, it is generally paid for through payroll deductions from the policyholder’s check.
Long term care insurance coves several situations. The main concern of the policy is to make sure the policyholder is covered. Things covered by this type of policy include daily living expenses from being in long term care facility or from having a home health aide. This includes medical costs not covered by your regular insurance, such as costs for your room and board in a nursing home.
The main benefit of long term care insurance is that it takes care of your long term care needs. You won’t have to worry about bothering family to take care of you. It allows you to keep your independence, instead of having to rely on your family for everything.