Having long term health care insurance can provide you with a great deal of peace of mind. However, it can also be expensive. Here are some great options to reduce your costs.
It used to be that the only sure things in life were death and taxes. However, you can now add rising health care costs to that short list. Every year, these costs will keep going up and there is no end in sight.
1Why You Need It
Unfortunately, many people will eventually need the assistance that can only be given in a nursing home or an assisted living facility.
If you find yourself in this position and you don’t have long term care insurance, you will risk either losing your home and life savings or not getting the kind of health care that you need.
Those are both very poor options to have to choose from.
Long term health insurance is the answer, but it can be expensive. Here are some great ways to try to lower this expense.
2Look at Several Options
The best way to find affordable long term care insurance is to shop around like you would for any other kind of product or service.
- Identify the “must have” features of your plan
- Set a budget
- Look for all the plans that fit your criteria
Once you get a list of potential plans, you can look at them to start making comparisons. In many cases you will be comparing apples to oranges because of the different features of each plan. Focus on the “must have” features you identified and the cost to make your decision.
3Check Your Existing Coverage
Many people make the mistake of shopping for long term health care insurance without checking what kind of coverage they already have. Check your regular health insurance and check the Medicare guidelines. Saving money on long term health care means finding insurance that compliments your existing coverage. Make sure you aren’t paying for double coverage.
4Get Your Insurance Before You Need It
One of the best ways to reduce costs for your long term health care insurance is to get your policy when you are younger. As you age, your premiums will be much lower than if you were to start your policy later in life.
5Save With an Extended Waiting Period
Another way to save on long term health care insurance is to make the waiting period longer.
If you agree to pay premiums for a longer time before the insurance actually kicks in, you will have much lower premiums.
Of course, you don’t want to wait too long because if something happens and you need the insurance, you want to be able to use it.
6Limit the Payout Years
You can also reduce your premiums if you limit the number of years that the policy will pay for. Of course, this is tricky as well. If you have the good fortune of living longer than expected, you will be faced with either having your insurance run out or having to pay huge premiums for a new policy.
7Find Discounts
There are many organizations that can offer discounts on long term health care insurance. Check with your employer, professional organization or other groups where you have a membership.
8Look for Tax Benefits
If you own a business, you may be able to take your long term care insurance premiums as a tax deduction. There are also some states that will give you tax credits for having your own insurance. If you don’t have this type of insurance and you end up having to be in a nursing home, the state will have to pay for it. This is the reason many states provide tax benefits if you have your own insurance.
Share with your friends
