Contact: Russell Smith (512) 424-6966 |
January 23-29, 2012
Long-Term Care Insurance: A Smart Way to ‘Own Your Future’
Almost everyone recognizes that it’s important to financially prepare for long-term care. So why are so many of us failing to do so?
Studies largely debunk the notion that we’re a nation of Blanche DuBoises, content to “depend on the kindness of strangers.” Most often, it seems, we either doubt our ability to put enough money aside, or think we’re in better shape than we really are.
If you’re in the first category, you may feel more optimistic after visiting the Texas Long-Term Care Partnership’s Own Your Future website (www.ownyourfuturetexas.org). If you’re in the second, the partnership can offer both a wakeup call and the help you need to get back on the road to long-term care security.
According to Geoff Wool of the Texas Health and Human Services Commission, the first step in taking charge of your future should be a clear-eyed assessment of where you now stand.
“Many folks feel they’re in pretty good shape because they have health and disability insurance. The truth is, both of these types of insurance are great, but neither — including Medicare — will cover all of your long-term care costs. In one of our research studies, well over of a third of the people we talked to thought they had long-term care insurance. In reality, the national average is less than 10 percent.”
Own Your Future helps you hone in on your real needs with a step-by-step process, starting with a few basic facts and questions. Then, the website gives you a crash course on what long-term care really means. It also separates myths from facts and describes the types and levels of long-term care.
In clear, jargon-free terms, the site explains the difference between skilled care by a doctor or therapist and personal care for your daily living, as well as your choices for in-home, community-based or facility care. You’ll also learn how likely you are to need long-term care and how your needs might change over time.
A Realistic Look Ahead
By taking Own Your Future’s quick quiz, you can assess your likelihood for needing long-term care and learn what your expenses might be based on costs in your area. Next, you’ll learn about insurance options to prepare for these likely costs. For example, Long-Term Care Partnership-qualified policies offer dollar-for-dollar “resource protection” that can help preserve some of what you’ve worked for.
For every dollar that a qualified policy pays out in benefits, a dollar of your financial resources is set aside when determining if you qualify for Medicaid long-term care services.
The website shows you the unique options each policy offers, such as being able to retain some benefits you paid for, even if you cancel your policy or lose coverage.
Your final step is to create your personal plan. Begin by talking to your family and agreeing on basic concerns and strategies. The website can help guide your conversation with tips on how to explain long-term care basics as well as some important questions to ask during the preliminary discussion.
Once you and your family are on the same page, the website can advise you on what to take into account as you prepare your long-term care plan. There’s even a calculator to estimate possible expenses and craft a mix of finances to pay for it all.
“Many people who assume they’re priced out of the long-term care insurance market come away feeling gratified by the level of security they’re able to afford for themselves and their families,” Wool said.