Long-Term Care Insurance

Most long term care insurance policies include what’s called an elimination period—a waiting period you must meet before your benefits begin. Instead of being based on dollars spent, it’s usually measured in days of care received (commonly 30, 60, or 90 days). For example, if your policy has a 90-day elimination period and you receive care for 4 hours a day for 10 days, you will have 80 days left in your elimination period.

What does this mean for home care? Starting care earlier can actually save you money in the long run. If you begin home care when you only need a few hours a day—say, 4 hours—those days still count toward your elimination period. By the time your care needs increase and costs are higher, your elimination period will already be satisfied, and your long term care insurance will begin covering the expenses.

A long term care insurance policy is designed to help offset the costs of care, but it may not cover everything. Each policy has daily, monthly, or lifetime benefit limits. Once those limits are reached, you would be responsible for additional costs. Planning ahead—such as starting care earlier or using benefits strategically—can help extend the value of your policy and reduce the chance of running out of funds too soon. A strategic use of your benefits for home care is often less expensive than moving into a facility. Every situation is unique, and it is important to weigh the advantages and disadvantages of your options.

No, a long term care insurance policy is written specifically for the individual insured. Benefits cannot be transferred or used for a spouse, partner, or family member. However, if both you and your spouse have separate policies, each policyholder can access their own coverage when needed.

Yes, many long term care insurance policies allow you to use benefits in multiple settings. This may include home care, assisted living communities, independent living communities, and memory care. Home care benefits are especially popular because they allow you to remain in your current living situation while still receiving professional support. We are happy to help you assess your policy for details, as coverage varies by plan.