When You Shouldn’t Buy Long Term Care Insurance

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At LTC Consumer, we believe Long Term Care insurance (LTCI) is an important part of long term care planning, but we understand LTCI isn’t for everybody. In fact, we’re not afraid to tell clients when LTCI may not be the best option for them.

If you’re trying to decide if LTCI is right for you, the following are a few great reasons to consider when exploring your options.

When You Can No Longer Do Your Regular Activities of Daily Living

The familiar adage of “you can’t buy fire insurance when your house is on fire” applies similarly when buying LTCI. If you’re already receiving care at home or in a facility, or are unable to do your regular activities of daily living such as eating, getting dressed, bathing, toileting, etc., it’s too late to buy coverage.

When You Have a Disqualifying Health Condition

Certain health condition or prescription medications could disqualify you immediately from obtaining coverage. Top health declines include:

  • AIDS/HIV
  • Alzheimer’s
  • Amyotrophic Lateral Sclerosis (ALS)
  • Cystic Fibrosis
  • Dementia
  • Active Hepatitis C, Non-A, Non-B or Autoimmune
  • Kidney Failure
  • Liver Cirrhosis
  • Multiple Sclerosis
  • Muscular Dystrophy
  • Paralysis
  • Parkinson’s Disease
  • Schizophrenia
  • Sickle Cell Anemia
  • Systemic Lupus Erythematosus

This is not an exhaustive list. Speak with an LTC Specialist to determine if your health condition(s) could disqualify you from coverage before ruling it out altogether.

When You’re Using a Multi-Pronged Cane, Walker, Crutches or Wheelchair

Current use of any of these items will immediately disqualify you from being eligible for coverage. If you fully recover from an accident or injury at a later date, and other health conditions or prescriptions don’t disqualify you, LTCI may be an option to consider.

When You Can’t Afford It

LTCI premiums are an expense you pay now to avoid paying thousands per month for long term care services later. If you are healthy and can afford the coverage now and into your retirement years, we highly suggest you make LTCI a part of your plan.

If your retirement income can’t pay the premiums (be sure to account for the potential of future rate increases), we wouldn’t suggest foregoing food and shelter for LTCI coverage. Your basic needs should come first.

When You Don’t Fully Understand What You’re Buying

Insurance terms and phrases can be confusing. Between elimination or waiting periods, monthly benefit options, benefit durations, and additional riders, there can be a lot of moving parts. Make sure you work with an LTC Specialist and educate yourself fully on what LTCI does and doesn’t do to gain a thorough understanding of the coverage before you buy.

While these are suggested reasons when LTCI may not be right for you, we always encourage clients to speak with an LTC Specialist about their specific needs and situation. A Specialist can review your health history and help you decide if applying for coverage is right for you.

Run your own LTCI rates online and speak with an LTC Specialist today.

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