It’s important to understand the distinction between long-term care policies and other health plan types in New Jersey. Although they may seem to work similarly, they differ in many ways.
Which insurance types offer long-term care?
With standard health insurance and disability insurance, long-term care services are not covered. These kinds of policies are instead used to pay for things like medication, surgery, and doctor visits. Medicare also doesn’t help with chronic conditions or long-term care.
Medicaid, the public health program, might help you pay for your health care needs in the long term. But you should also bear in mind that the program uses highly stringent guidelines to determine who is eligible.
What to look for in an LTCI policy
If you’re not sure how to choose a long-term care insurance or LTCI policy that’s right for you, it’s helpful to know what criteria to look for. One of the first things you’ll want to consider is how much you’re getting out of the policy. You can figure out your benefit amount by considering the daily cost of the policy weighed against the quality of care you expect to receive.
Your locality and the type of care you want have a huge bearing on the cost of an LTCI policy. Prices will vary widely depending on if you choose a private nursing home versus in-home care, for instance, the latter being less expensive.
Also, keep an eye out for policies that allow you to select the length of your policy. If you look at your own medical history and that of your family, it may help to inform your decision of how long you want the policy to last.
It’s usually recommended by insurance professionals to buy this type of policy at some point in your 50s or 60s. The younger you take out a policy, the lower your premiums may be.
You should also be aware of your policy’s elimination or waiting period, during which the policyholder still has to pay for any medical costs themselves. This period may range from 30 to 90 days usually. If you opt for a longer waiting period, you might get a lower premium.