Securing Your Long-Term Care Needs
by Alicia Wanek
If you have ever explored the costs associated with assisted living or long-term care facilities, you understand that it’s far more daunting than Halloween. According to attorney Colin Smith, “Long term care facilities in the metroplex can exceed $6,500 per month, and the prices escalate if the individual requires memory care.” That’s certainly alarming!
You don’t need to panic. Thankfully, various options exist, such as a traditional long-term care insurance policy or a more recent guaranteed universal life policy with a long-term care rider, which can offer benefits for care as you age. Even if you are seeking options for your elderly parents, it’s never too soon to consider these choices for yourself.
Chuck Cowell, Dallas Market Chairman at Guaranty Bank & Trust, has been navigating these options for his own father. He remarks, “In many family situations, the necessary resources to properly care for an aging relative will not align with the actual costs in today’s healthcare landscape, especially when extended care is involved. Families with even above-average resources can quickly deplete their hard-earned savings when faced with long-term care needs.” This realization can be quite daunting, but he also notes that “investing in a solid long-term care product now can significantly ease the challenges and critical decisions that lie ahead.”
Bobby Davidson, an independent local insurance agent, describes the newer universal life policies as a “great hybrid” that combines traditional term life and long-term care insurance. It’s crucial to consult with a professional like Bobby to identify the right policy with a long-term care rider if you are considering this for yourself or a loved one. The important thing is to seek expert advice to ensure you select the appropriate coverage.
Colin agrees. “Take the time to examine the details of any long-term care policy thoroughly, and make sure you grasp the terms and conditions. Some policies impose maximum lifetime benefits, only covering a certain dollar amount of care. Others have specified benefit periods, providing benefits only for a limited duration. Furthermore, some policies only cover facility care and do not extend to in-home services. Consider having an attorney review it for you. If it doesn’t address your needs when the time comes, it might be too late to pursue other options.” Kevin Margolis from SFMG Wealth Management adds, “You don’t have to insure every expense. You can choose to partially insure the costs. Any step you can take to alleviate the later burden is advantageous.”
The fact is, nearly 70% of individuals who reach 65 will require long-term care at some stage in their lives. You can make this process less intimidating for both you and your family by proactively addressing it now.
Sources:
Bobby Davidson, Davidson Insurance Services
bobby@davidsonservices.com | 972.980.4884
Colin Smith, Colin Smith Law
Colin@colinsmithlaw.com | 972.773.9095
Chuck Cowell, Guaranty Bank & Trust
ccowell@gnty.com | 214.223.3581
Kevin Margolis, SFMG Wealth Management
kevin@sfmg.com | 972.960.6460
