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Long-term care insurance is not a necessity for everyone. Certain financial analysts contend that nursing-home care encumbers taxpayer-funded medical care. Others are under the misconception that insurance will cover nursing home care and prevent loved ones from losing their assets.

The decision to buy a long-term insurance policy requires much contemplation and an understanding of what is being purchased. Generally, long term insurance is ideal for individuals, who are over 60 years of age or younger when diagnosed with a chronic medical condition and:

Have a minimum net worth of $200 K
Own less than $1 million in assets
Can afford the monthly premiums
Do not have any living relatives willing to be caregivers

Investigate Long-Term Insurers
Information released by Consumer Reports shows that various long-term care providers have questionable assets. Therefore, its a good idea to investigate a life insurance companys financial stability. A volatile downturn could result in substantial premium increases or even a loss of insurance premium investments.

Peruse Policy Details
Consider policies with a benefits plan of four-years. Based on data compiled by the Centers for Disease Control and Prevention, fours year is more than ample coverage because the average nursing home stay is two and a half years.

Review whether the policy covers prescriptions and other services. Many long-term plans include daily benefit care, only.

Study the terms of the "elimination period. Quite often, long term insurance policies come with a deductible referred to as an elimination period. The span represents how long the patient must pay for care out-of-pocket. Avoid policies with 90-day elimination periods and shop for 30-dayers.

Consider long term insurance plans with an inflation guard. These policies increase benefits by five percent based on the annually accrued principal and interest.

Shop for flexibility.
Aside from comparing cost savings, shop for flexibility. It maybe decades, if ever before an insurance subscriber makes a claim. Shop for policies with minimal restrictions on new systems of care.?(For instance, Assisted Living is a new-fangled care that was not covered a century ago).

Ask 10-Questions
Review 10-essential questions to ask before buying long term insurance, at TheConsumerJournal.com.

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