Is long-term care insurance necessary?
Long-term care insurance is designed to provide coverage to individuals who end up confined to a nursing or other type of long-term care facility. Long-term care insurance is a type of coverage that supplements medical insurance policies.
Time Frame
Long-term care insurance policies all have a waiting period before coverage goes into effect. This time frame varies from policy to policy, generally from 60 to 120 days. The waiting period is an example of a reason not to buy long-term care insurance.
Existing Coverage
A majority of health insurance polices contain provisions for long-term coverage. Before a person invests in a separate long-term care insurance policy, examining what is available in this regard in an existing health insurance policy is important.
Considerations
Another reason why there may be no need for this type of insurance is the average consumer either never will enter into a long-term care facility or will not be there long enough to require coverage beyond traditional health insurance, according to Consumer Reports.
Effects
The ultimate effect of purchasing long-term care insurance for many consumers is ending up "overinsured." These individuals pay premiums for insurance coverage they simply do not need.
Warning
When shopping for long-term care insurance, a consumer needs to make sure that she is dealing with a reputable agent or broker. There are a variety of ongoing long-term insurance scams in motion at any given point in time.
Tags: care insurance, long-term care, care insurance, health insurance, long-term care