Long Term Care Insurance

If I ever manage to get the LTC carrier to start paying for home care and if my mother lives a long time, then she will be ahead, but for now, it is incredibly frustrating trying to get the LTC carrier to approve provided care so that it can count toward the policy elimination period.

My mother’s policy has a 100 day elimination period, but in order to satisfy the elimination period, one has to submit documentation of licensed care provided, and then the LTC carrier has to approve that the care meets their definition. All this, even after their nurse approved my mother as needing in-home care.

Obtaining and submitting the documentation is trying, at best. The aspect I find most annoying is the carrier’s request for documentation of the exact same care they have already approved. For example: in-home PT claims approved for Jan & Feb still requires full submission of all care notes for March & April visits from the same provider for the same services…even after LTC nurse approved benefits. Carrier will not accept Medicare EOBs.

Self-funding of care would remove a lot of the hassle, but I recognize that the plan could pay significant benefits if the patient manages to live a long time with a condition that satisfies the LTC carrier’s definition of need.

Another possible way to use equity in a home to finance LTC might be a reverse mortgage.

OR- For those who plan to move when they retire & buy a home, or stay in their current home, it’s possible the house/condo/coop will appreciate in value.

Another example from my family – An uncle & his wife moved when they retired. They bought a house about an hour from San Jose, CA, in a very low-density area, near a historically agricultural area, while they were in their sixties, rented it until they retired, then lived there until a few years ago, when they moved into a graduated assisted living facility because my aunt has dementia. Their home increased in value because suburban San Jose grew. Although I don’t know whether selling their house was the means to pay for assisted living, nor do I know if they have LTC insurance, my uncle definitely didn’t anticipate a huge increase in property values.