6 Best Long Term Care Insurance Companies of 2022 | Smart Change: Personal Finances

Also, if you have sufficient resources, you may want to forgo long-term care insurance and instead rely on leveraging those assets if you do need such care later in life.

Does health or disability insurance cover long-term care?

According to LongTermCare.gov, there is a common misconception that medical insurance will cover most long-term care costs. Most private health insurers and health maintenance organizations (HMOs) only cover skilled, short-term, medically necessary care. Many private health insurers do not cover custodial care.

Disability insurance, on the other hand, is designed to replace your income in the event that illness or injury renders you unable to work, not to cover long-term care expenses. If your disability also requires long-term care services, the cost of care may rise.

What can prevent you from benefiting from long term care insurance?

Insurance companies rate risk differently, which means some may be more lenient than others when it comes to certain risk factors. In general, long-term care insurers will pay close attention to your medical history and any family history of debilitating illness.

Being in poor health or needing help with activities of daily living could make it harder to be approved for coverage or qualify for lower premiums.

Kristan F. Talley