What is long-term care insurance?

Long-term care insurance is specifically designed to cover the costs associated with long-term care services. These are the services that individuals may need when they have chronic illnesses, disabilities, or cognitive impairments that require assistance with everyday activities such as bathing, dressing, or eating. This type of insurance is vital because standard health insurance and Medicare typically do not cover the extended care needed for these situations.

The focus of long-term care insurance is to provide financial assistance for care received in various settings, which can include nursing homes, assisted living facilities, or even home care services. This allows individuals to maintain a certain level of comfort and autonomy as they age or when facing health challenges. Overall, long-term care insurance helps ensure that individuals have access to necessary care without overwhelming financial burden. This makes it a critical component of financial planning for many people as they consider their healthcare needs in the future.