Focus on the Major Benefits — the “fuzzy dice” are not important!
What are the major benefits of long term care insurance?
Nearly everyone who receives care today receives that care either at home or in some type of facility–care that is provided by loving, compassionate people.
I’m quite certain that 30 years hence, care will still be provided by loving, compassionate people either at home or in a facility–making the point of this article moot.
Since HIPAA standardized long-term care benefit triggers in 1996, nearly every long term care insurance policy pays benefits for care received at home or in a facility.
Over 200,000 policyholders receive over $7 billion each year in long-term care insurance claims benefits. And a federal audit of long term care insurance claims practices concluded that long term care insurance is working.
Buying a long-term care policy because it has the “alternate plan of care” benefit is kind of like buying a car because it has “fuzzy dice” hanging from the rear view mirror. In other words, it’s meaningless. Just be sure to buy a policy that has good home care benefits and facility benefits. Don’t worry about the benefit triggers–they were standardized by HIPAA in 1996.
Scott A. Olson