Long Term Care
LTC planning and care coordination affects all demographics of life from the affluent to individuals with little to no financial means.
More than 2 out of 3 people will experience a long term care need in their lifetime.
Most people would prefer to receive LTC assistance at home.
This also comes with the desire to not be a burden to a loved one, and ideally to pay a family member for that care.
To find out more about LTC planning, coordination, and benefits.
See all of LTC Options
Estate planning will include what is known as “Durable Powers” for Financial & Health decisions.
The “Health” durable power helps you/an individual to coordinate LTC planning and other benefits. Provisions are made in a Will to name a family member or friend to act on your behalf should you become mentally or physically incapacitated.
Private or Group LTC Insurance pays a monthly benefit for a specified period of time.
LTC insurance products come in a few variations from stand-alone products, to hybrid LTC products that are placed on the chassis of a life insurance Policy or Annuity Contract.
LTC insurance products come in a few variations from stand-alone products, to hybrid LTC products that are placed on the chassis of a life insurance Policy or Annuity Contract.
- Individual and group LTC products can also include additional benefits like bed reservation, unused benefits roll to a spouse, respite care, & etc.
- Individual and Group LTC Policy to not have a residual cash value if the LTC benefit is not used.
- Life insurance and annuity LTC product solutions provide maintaining your premium contributions in the Policy or Annuity in the event you do not use the LTC benefit.
Personal Assets allow maximum flexibility. Durable Powers and LTC Insurance require a qualifying event to trigger their use. Using personal assets requires planning considerations regarding what assets should be liquidated and in what order to fund any potential LTC benefit costs. The most common funding sources are Retirement Accounts, Investments, & Real Estate through either a reverse mortgage or liquidation/sale.
Medicaid or Medi-Cal requires assets to be spent down to approximately $130k with income limits imposed. There is also a lien that is placed on your primary residence for the State to recoup LTC benefits costs in order to qualify for benefits. The choices of care providers and facilities is also regulated by Medicaid or Medi-Cal.
