Introduction
Long term insurance is insurance that provides for long term care, usually beyond what normal insurance, Medicaid, and Medicare provides. Most people who are in their senior years will need some type of extended care for day-to-day needs when they can no longer take care of themselves. They may not have a specific illness or injury, but due to age, lose the ability to care for themselves in the form of bathing, eating, and meeting their daily needs. The insurance must usually be purchased before the need is prevalent and be in effect before care is needed. Long term insurance can provide both seniors and younger people with the peace of mind of knowing that they will be cared for if they become unable to care for themselves in their later years or even at a younger age due to illness. Seniors no longer need to feel frightened by growing older because they know with a long term insurance policy that they will have help and care when they need it most!
Benefits
The benefits of long term insurance can greatly benefit people who need assistance as they get older. Many people don't have children or other loved ones to rely on for their care. They may also feel that they would be a burden and don't want to reach out to others for help. Long term insurance can provide in-home care, assisted living, nursing home care, and even hospice services. These services can be vital for those who are aging and becoming unable to provide care for themselves. For those who are looking to save money on their taxes, long term insurance premiums are often tax deductible up to a certain percentage. The peace of mind that long term insurance gives is priceless!
Different Types of Policies
There are two types of long term insurance policies. They are tax qualified and non-tax qualified policies. Most people want the tax qualified policies because they can save money on their taxes by getting tax breaks for the premiums that are paid. This can help individuals save money on their taxes. Both of these types of policies are very beneficial to the customer because the policy can never be cancelled due to illness or age. The only way that the policy can be cancelled is because of non-payment. Most long term insurance policies have a waiting period just like any other insurance plan. This period can vary depending on the policy type and company that you choose. It is important to read very carefully, the fine print to be sure you understand the ramifications of your policy!
Understanding Your Long Term Policy
All Long Term insurance policies have some type of deductible. This is called a waiting period and can vary in the amount of days that is required. This can vary from anywhere to thirty days to one-hundred and twenty. It is important to note that the longer the waiting period on your policy, the lower your premiums will be. Some of the long term policies require you to purchase your care and show proof that you have paid it for a specified period of time before they will begin to give you coverage. This is where it is so important to check carefully into the policy before you purchase it so that you know what you are getting into!
