March 26, 2021
2 minute read

Long Term Care Insurance: Everything You Need to Know

When you’re planning for retirement, there’s a whole checklist of things to consider. One item you’ll want to include is planning for long-term care. The first step is knowing how supplemental long-term care insurance can be an important part of that plan.

What Is Considered Long-Term Care?

Long-term care is when you receive assistance with everyday tasks. Someone may require long-term care as a result of a chronic condition or injury. Care can be received at home, a day care facility, or a nursing facility. To receive benefits from a long-term care insurance policy, an individual must need help with at least two of the following “activities of daily living”: bathing, dressing, toileting, eating, mobility, or continence.

What Do Long-Term Care Insurance Plans Cover?

Supplemental long-term care plans cover services that health insurance plans do not. That means you’ll be able to use your benefits toward costs such as:

  • Skilled nursing care
  • Home healthcare
  • Adult daycare
  • Assisted living
  • Nursing home care

Some plans also cover “homemaker services,” which means that your plan may help cover housekeeping or meal preparation services.

Does Medicare Cover Long-Term Care

No, Medicare plans do not cover long-term care services that relate to the activities of daily living, also called “custodial care.” However, Medicare will cover certain aspects of the medical care that may be provided during a long-term care stay.

Does Medicaid Cover Long-Term Care?

Medicaid will cover long-term care in some qualifying scenarios. But details vary from state to state, so check with your state’s Medicaid program for information.

How Does Long-Term Care Insurance Work?

Long-term care insurance helps cover services whether you receive this care in a nursing home, assisted living facility, community-based setting, or in your own home. Here’s what you need to know about long-term care insurance to help you choose the right plan.

When should I purchase long-term care insurance? Your premium is likely to be lower the younger you are when you enroll. After age 60, premiums for long-term care insurance begin to rise.

How much coverage do I need? The amount of coverage depends on a variety of factors including your budget and health. But keep in mind that in 2020, assisted living costs averaged $51,600 a year, while a private room in a nursing home averaged $105,850 annually.1

What Determines Long-Term Care Insurance Costs?

There’s a lot that goes into crunching the numbers when it comes to long-term care insurance. The following factors often come into play when determining your coverage and premium costs.

  • Age. The younger you are when you enroll, the less your plan is likely to cost.
  • Benefit Amount. Both the amount of your daily benefit and your maximum benefit coverage will influence the cost of your policy.
  • Deductible. With long-term care insurance, your deductible specifies how long you’ll receive care before your coverage kicks in. The shorter your deductible period, the more your plan will cost.
  • Policy Riders“Riders” are optional additions to your insurance plan. Common rider options include accelerated benefits for inflation, reimbursement, and indemnity.

HealthMarkets Can Help You Find a Long-Term Care Insurance Plan

You don’t have to face long-term care insurance decisions alone. Licensed insurance agents are here to help assess your needs and find the policy that’s right for you, at no cost to you. Give us a call at (800) 827-9990 so we can get started, or search for an agent in your area to set up a meeting today.

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© 2022 HealthMarkets Insurance Agency. All rights reserved.

To send a complaint to Medicare, call 1-800-MEDICARE (TTY users should call 1- 877-486-2048), 24 hours a day/7 days a week). If your complaint involves a broker or agent, be sure to include the name of the person when filing your grievance.

We do not offer every plan available in your area. Any information we provide is limited to those plans we do offer in your area. Please contact Medicare.gov or 1-800-MEDICARE (TTY users should call 1- 844-704-7357), 24 hours a day/7 days a week, to get information on all of your options.

Attention: This website is operated by HealthMarkets Insurance Agency, Inc. and is not the Health Insurance Marketplace® website. HealthMarkets Insurance Agency, Inc. is licensed as an insurance agency in all 50 states and DC. Not all agents are licensed to sell all products. Service and product availability varies by state. Sales agents may be compensated based on a consumer’s enrollment in an insurance plan. No obligation to enroll. Agent cannot provide tax or legal advice. Contact your tax or legal professional to discuss details regarding your individual business circumstances. Our quoting tool is provided for your information only. All quotes are estimates and are not final until consumer is enrolled. Medicare has neither reviewed nor endorsed this information.

HealthMarkets Insurance Agency offers the opportunity to enroll in either QHPs or off-Marketplace coverage. Please visit HealthCare.gov for information on the benefits of enrolling in a QHP. Off-Marketplace coverage is not eligible for the cost savings offered for coverage through the Marketplaces.

This information is not a complete description of benefits. Call the Plan’s customer service phone number for more information.

47308-X-0321

© 2022 HealthMarkets Insurance Agency. All rights reserved.

To send a complaint to Medicare, call 1-800-MEDICARE (TTY users should call 1- 877-486-2048), 24 hours a day/7 days a week). If your complaint involves a broker or agent, be sure to include the name of the person when filing your grievance.

We do not offer every plan available in your area. Any information we provide is limited to those plans we do offer in your area. Please contact Medicare.gov or 1-800-MEDICARE (TTY users should call 1- 844-704-7357), 24 hours a day/7 days a week, to get information on all of your options.

Attention: This website is operated by HealthMarkets Insurance Agency, Inc. and is not the Health Insurance Marketplace® website. HealthMarkets Insurance Agency, Inc. is licensed as an insurance agency in all 50 states and DC. Not all agents are licensed to sell all products. Service and product availability varies by state. Sales agents may be compensated based on a consumer’s enrollment in an insurance plan. No obligation to enroll. Agent cannot provide tax or legal advice. Contact your tax or legal professional to discuss details regarding your individual business circumstances. Our quoting tool is provided for your information only. All quotes are estimates and are not final until consumer is enrolled. Medicare has neither reviewed nor endorsed this information.

HealthMarkets Insurance Agency offers the opportunity to enroll in either QHPs or off-Marketplace coverage. Please visit HealthCare.gov for information on the benefits of enrolling in a QHP. Off-Marketplace coverage is not eligible for the cost savings offered for coverage through the Marketplaces.

This information is not a complete description of benefits. Call the Plan’s customer service phone number for more information.

47308-X-0321

© 2022 HealthMarkets Insurance Agency. All rights reserved.

To send a complaint to Medicare, call 1-800-MEDICARE (TTY users should call 1- 877-486-2048), 24 hours a day/7 days a week). If your complaint involves a broker or agent, be sure to include the name of the person when filing your grievance.

We do not offer every plan available in your area. Any information we provide is limited to those plans we do offer in your area. Please contact Medicare.gov or 1-800-MEDICARE (TTY users should call 1- 844-704-7357), 24 hours a day/7 days a week, to get information on all of your options.

Attention: This website is operated by HealthMarkets Insurance Agency, Inc. and is not the Health Insurance Marketplace® website. HealthMarkets Insurance Agency, Inc. is licensed as an insurance agency in all 50 states and DC. Not all agents are licensed to sell all products. Service and product availability varies by state. Sales agents may be compensated based on a consumer’s enrollment in an insurance plan. No obligation to enroll. Agent cannot provide tax or legal advice. Contact your tax or legal professional to discuss details regarding your individual business circumstances. Our quoting tool is provided for your information only. All quotes are estimates and are not final until consumer is enrolled. Medicare has neither reviewed nor endorsed this information.

HealthMarkets Insurance Agency offers the opportunity to enroll in either QHPs or off-Marketplace coverage. Please visit HealthCare.gov for information on the benefits of enrolling in a QHP. Off-Marketplace coverage is not eligible for the cost savings offered for coverage through the Marketplaces.

This information is not a complete description of benefits. Call the Plan’s customer service phone number for more information.

47308-X-0321