Getting to know about information on long term care insurance is a very important part of your retirement planning. You do not use most of your insurances but this is not the same when it comes to this type of insurance. Surveys show that more than half of people aged 65 years old need long term care insurance at some point in the lives. Therefore, this indicates that there is a high possibility that you may need this insurance in the future when you start to age and your health deteriorates.
Basically, this type of insurance covers care for someone who is unable to do simple daily routines such as bathing, dressing or eating meals. They need assistance to perform these basic daily tasks. If you have long term care insurance, helps would be provided in your home. This insurance does not only provide coverage for nursing home expenses. It usually provides assisted living facilities, home care as well as traditional nursing home care.
Getting long term care is not cheap and if you do not have this type of insurance with you, you might fall into financial crisis. Even if you can afford to pay for your living assistance now without insurance, you must consider the effect of inflation on the value of money. When you need long term care decades later, the value of money might have dropped so low that you cannot afford to pay for the same expenses at that time.
Long term care insurance provides protection from inflation by allowing for increased costs in the future. It is advisable that you include compound inflation protection in your plan if you are purchasing the insurance when you are below 70 years old. The insurance may not be cheap but you will realize how much it is worth your money when you need it in the future. Get it when you are still young and healthy to get a lower rate.