For financial independence, make long term care insurance part of your financial strategy

By Cheryl Bean
If you would rather write your will than have a discussion about planning for your long term care (LTC) needs, you are not alone.
The emotions surrounding the very thought of losing our independence can paralyze us from taking action.
But it doesn’t have to be that way. Once people understand the facts about long term care, the planning process is much easier and offers peace of mind about preserving your savings, retaining your independence and protecting your family members from the burden of caregiving.
Long term care is the assistance needed by someone who can no longer independently perform daily activities such as eating, bathing or dressing. This care can be received at home, in an assisted living facility, adult day care center or nursing home.
It is important to understand that long term care does not necessarily have to mean nursing home care, which seems to be the biggest fear and misconception associated with LTC.
Most older adults who receive LTC do so in their own homes or in community settings and today, more Americans have first-hand experience with caregiving and how it affects their personal lives, family, financial security and work situation.
While most recognize the importance of planning ahead, there is a lack of knowledge about LTC as well as about the pros and cons of other funding alternatives.
With the national average cost for nursing home care above $70,000 annually and the expenses of care at-home or in community settings on the rise, LTC costs can really add up. Many rely on the hope that government programs like Medicare and Medicaid will pay for LTC services ? but these programs can be very limiting.
Long term care insurance (LTCI) is the best funding solution and it is important to note that LTCI premiums are based on your age and health condition when you apply, so it makes sense to buy when you are younger.
Planning for long term care should be an important part of your overall financial strategy and a LTC insurance policy can help protect your retirement savings, give you control over where you receive care, give you the means to pay for higher quality care and relieve your family and friends of the burden of caregiving responsibilities.
Recognizing just how critical an issue long term care is becoming, Michigan, with help from the federal government, is encouraging individuals to plan for their own future long term care needs.
Individuals can order a free Long-Term Care Planning Kit by calling 1-866-PLAN-LTC or by visiting www.longtermcare.gov.
For more information, contact Cheryl Bean at 248-625-7550.