Define Long-Term Care Insurance

In-home care assistance may not be covered by health insurance plans.

While people may have health insurance coverage under their employer or a family member, such plans do not typically pay for continual care services. It is essential that individuals find a long-term care insurance plan that will meet their needs--before they get sick.

Defined

The purpose of long-term care insurance is to provide coverage for long-term care services. According to the U.S. Department of Health and Human Services, most traditional health insurance policies do not cover services such as daily living assistance or nursing home care.

Considerations

When choosing a long-term care insurance plan, consumers will need to consider their age, current health status and the premium amount they can afford to pay. These plans have a benefit maximum, which places a limit on the amount of money the policy will cover or on the number of years services will be covered.

Warning

According to the Department of Health and Human Services, individuals can be denied long-term care insurance coverage if they are already ill or receiving long-term services. Some companies may offer policies for these individuals, but they may have a high premium or provide limited coverage.

References

• US Department of Health and Human Services: Long-Term Care Insurance