Long-Term Care Funding
Balancing the right amount of risk to self-insure or share
Long-Term Care for One Affects All
The decisions around what to do when your spouse or loved one needs more care than you can provide are never easy. Family members often become stand-in nurses, providing informal care. There are numerous financial and personal consequences when long-term health care is needed, and they can become truly unmanageable when there is no game plan prepared in advance of the need. Clients can benefit from having a written plan for how to pay for long-term care.
Self-insurance can be mixed with risk transfer and mitigation strategies that can decrease the overall impact of long-term care expenses on a retirement income plan. This might mean mixing guaranteed income sources like Social Security & pensions with variable incomes sources and assets like dividends, interest, and retirement savings before looking to insurance coverage.
Combining non-correlated assets like emergency funds, insurance policies, and investments can improve outcomes and reduce risk. Cardinal Retirement Planning, Inc. helps clients prepare to age with security, by preparing plans that account for healthy years, impaired years, and lasting legacies for survivors and beneficiaries.
Insurance can’t solve all your problems.
Understanding the policy’s benefits, triggers, exclusions, and definitions is key to using a long-term care policy correctly.
Long-term health care, at home or in a nursing home, is associated with:
- Loss of independence in living arrangements
- Inability to choose how day-to-day care is provided
- The feeling of being a burden on family members
- Expensive fees, charges, and contracts for care
Create a plan that can help:
- Maintain flexibility on where you live
- Help control your plan of care and standard of living
- Pay for informal care from family or licensed professional caregivers
- Limit drawing down your portfolio
Know Your Options
Find the FundingMake room for long-term care expenses in your financial plan.
