Long-term care expense planning is complex. A lot of factors need to be considered to put in place the appropriate product, coverage and premium.
Like what you ask.
For starters, your health history, wealth, asset location and financial goals. When we get to the cost and coverage, we need to understand where you would reside when care is required so that we can plan coverage based on the cost of care venues in that area.
Trust me. You don’t want to plan coverage on the cost of care in New York City if you would live in Oklahoma City closer to your kids if care was required. Conversely, you would not want to base coverage on the cost of care in San Francisco if you live in Los Angeles.
Costs vary by state and city
Any idea what the cost of care is where you live? Check out the top 10 states with the lowest home care costs. Monthly costs are figured on 44 hours of home care per week which equates to about six hours per day. See below for the costs in the Top 10 lowest states (open in PDF).
You can figure the cost of care venues where you live using this link: Cost of Long Term Care by State | Cost of Care Report | Genworth.
Be sure to look at the costs when you will be between 80 and 85. That’s when we see most long-term care insurance claims filed.
If you have not already planned for this expense, the costs might surprise you. And provoke conversations with your loved ones. Or financial advisor about long-term care expense planning. That would be a prudent outcome.