assisted living Archives - Page 2 of 4 - Long Term Care Insurance Expert | Honey Leveen

Keep Your Long Term Care Insurance After You Move to a CCRC

August 6, 2019 by Honey Leveen Leave a Comment

As a resident at Shell Point Retirement Community (SPRC), I have had a number of interesting, eye-opening conversations with my neighbors. Many of them believe that living in a Continuing Care Retirement Community (CCRC) is an opportunity to safely let go of their long term care insurance (LTCi). I do not recommend this!

Before you make this potentially dangerous decision for yourself or your parents, please read through these 3 experiences. Hopefully, they will serve as a cautionary tale and help you from repeating their mistakes.

1. Living in a CCRC Doesn’t Always Include Payment for Home Care

Sally’s mother lived in SPRC for 26 years. Although she needed care, her mother did not own long term care insurance (LTCi), since she believed the CCRC would cover the costs of her needs. Over the years, Sally’s mother was unwilling to accept the fact that her health was deteriorating and that she needed additional care. Ideally, she would have moved to the on-site assisted living facility or elected for home care.

The majority of CCRC’s pay for assisted living or nursing home care, but they don’t pay for home care.

As you’ll hear in Sally’s video testimony below, her mother was unwilling to pay for home care, preferring to preserve her estate for the benefit of her children. Her situation got so dangerous that Sally had to enlist intervention by a professional to “force” her mother into better care. Sally realizes now that the entire situation could have been avoided if her mother had been covered by a LTCi policy.

2. Nursing Care Paid Out-of-Pocket

When Hugh and his wife moved here to SPRC, they assumed that they no longer needed their LTCi since the CCRC would pay for their assisted living and nursing care. So they stopped paying their monthly LTCi premiums and let their policies lapse.

In her last months, Hugh’s wife became extremely disabled, needing care above and beyond what the assisted living facility could legally provide. Hugh was advised to move his wife to the on-site nursing home so she could receive the care she needed. While the assisted living center provides a cheery, home-like atmosphere, the nursing home is more sterile and institutional. Hugh just couldn’t bear moving his wife into the nursing home.

By remaining in assisted living, Hugh had to pay for round-the-clock caregivers out of his own pocket. As he shared his story with me, I told him about my work. He recognized how much he regretted giving up their long term care insurance. He knows that if they’d kept their policies active, the cost needed for his wife’s additional care would have been covered.

3. The Unexpected Need for an Off-site Facility

Nancy’s husband was stricken with Lewy Body Dementia. If this sounds familiar, this is the same illness that actor Robin Williams suffered from. This form of dementia can damage thinking and alertness. Symptoms can include physical stiffness, hallucinations and even violence.

As a result of his condition, Nancy’s husband became physically violent and needed more care than SPRC could safely provide. Despite their best efforts, SPRC was unable to keep him onsite. Nancy was forced to find an off-site facility that could properly care for her husband. Those unexpected costs (paid without the benefit of LTCi coverage) nearly demolished her savings.

Learning from Experience

You don’t have to have these experiences in order to learn the same lessons. Moving to a Continuing Care Retirement Community (CCRC) does not mean it’s time to end your long term care insurance policy. In fact, this may be the time you most want that peace of mind.

Click here to receive a free, no-obligation quote for your own LTCi policy.

Good News: LTCi Keeps People out of Nursing Homes!

July 30, 2019 by Honey Leveen Leave a Comment

One of the greatest fears among seniors is having to move to a nursing home. In fact, a study reports that seniors fear nursing homes more than they fear death. They don’t want to lose their independence.

And the majority of family members polled have serious concerns about their loved one suffering from neglect or mistreatment in nursing homes.

When I began selling LTCi in the late-1980s, assisted living was a new industry and facilities were hard to find. Most long term care took place in nursing homes or at home. In those days, some LTCi policies did not include assisted living coverage because it was so unknown.

Well, I’ve got some good news to share!

LTCi Can Keep People Out of Nursing Homes

Things are very different today. The 2019 Millman Long Term Care Insurance Survey is out, reporting on the current landscape of the LTCi landscape. It contains lots of good news for LTCi policyholders.

In 2013, 60% of policyholders avoided nursing homes. In 2017, only 30% of LTCi claims were for nursing homes.

People being cared for in assisted living live longer than in any other setting. LTCi claims for assisted living are now the longest and most expensive claims paid.

I expect this significant drop in nursing home admissions to continue. At least for those who are protected by their long term care insurance. Today, every traditional LTCi policy on the market will cover assisted living. This was not true years ago. Assisted living is now mainstream, popular, rapidly growing, and profitable. Happily, there are so many more choices are available.

Claims Are Getting Paid and In Record Time

The good news continues!

In 2017, payments to LTCi policyholders came to $11 billion for claims. This is a 55.9% increase in claim payments in the previous year. And claims are being paid 8% faster which means families are getting relief in a more timely manner. Expect this trend to continue.

Remember, LTCi ownership is a “long” game. The average age of LTCi purchase is 57. However, people don’t usually need to file a claim until they’re in their late 70s or well into their 80s. People who buy LTCi are realists, willing to plan for a future that’s years away.

If you’re someone who enjoys reading detailed insurance analysis, you can find the full report by clicking the image, below. And if you’re someone who likes planning for an easier future, click here to receive your free, no-obligation for long term care insurance coverage.

2019 Milliman Long Term Care Insurance Survey

Are Assisted Living Facilities Keeping Up With Needs?

March 26, 2019 by Honey Leveen Leave a Comment

Assisted living facilities and their residents don’t tire of blaming each other for sub-standard care.

An article in the New York Times reported the tragic and avoidable death of a 90-year-old resident, suffering from dementia. A resident of Brookdale Charleston Senior Living, she wandered outside — and not for the first time.

Nobody noticed her absence for seven hours. She was found in the pond behind the facility, dead from puncture marks to her ear, temple, jaw and cheeks. Her pacemaker was discovered inside one of the alligators that lived in the pond.

The assisted living facility has already settled the family’s claim for wrongful death and is now facing an additional suit for emotional distress.

Sharing the Blame

I believe that the residents, their families and the facilities can share in the blame.

Undertrained Staff

Assisted living is not federally regulated. Nursing homes are. State enforcement and sanctions are often lax and not very stringent.

Many experts agree that much of the problem stems from inadequate staffing which I’ve blogged about in the past. Adequate funding will easily resolve these shortcomings. An simple recommendation, but more difficult to implement.

Assisted living started as a service for people who were more independent. Residents who need help with activities of daily living (ADLs). Some residents were experiencing early cognitive challenges. Just a generation later, assisted living often accepts people with far greater needs. Needs they may not be prepared to fully accommodate. I often see this, and it disturbs me.

The Facility’s Profit Motive

Many assisted living facilities are for-profit entities, earning handsome returns to their investors. I have some friends who manage the marketing at some of these organizations. They often tell me that they are pressured by management to fill as many apartments as they can.

Facilities cannot offer this needed care at an affordable price point that fills apartments and attain financial returns that please their investors. As the saying goes, “No one can serve two masters.”

The Resident’s Budget

The residents (or their families) pay for assisted living out of their own pockets, unlike nursing homes. Medicare or Medicaid do not contribute. They have a high appeal, as they emphasize independent living instead of intensive medical care.

Many residents are unable to afford the higher cost of fully trained and properly staffed facilities, so they let their budget determine the quality of care they receive.

People want to deny the almost certain fact that they might ever need long term care (LTC). When they inevitably do need LTC, it is common for them and their family to downplay the true extent of their needs.

So they choose the posh, upscale environment so many assisted living facilities have, instead of one that may be better-equipped to actually care for the resident.

What happens when the residents and their family realize that they’re not getting the care they need? They might experience the tragic consequences like the resident in the NYT article. They might move to another facility more appropriate for their escalating needs.

Decide to Plan

When planning for your future needs, wouldn’t it be nice to make your decisions based on quality of life and not settle for a sub-standard solution just because of your financial limitations?

Choose quality! Click here to receive your free, no-obligation quote for your own Long Term Care insurance policy.

Long Term Care: Living with Grace and Dignity

June 12, 2017 by Honey Leveen Leave a Comment

Melinda was my long-time graphic designer and webmistress. I knew her for almost 20 years. She was also a very good friend.

She wants me to share her story. Her testimonial is already on my site.

I sold Melinda her long term care insurance policy when she was 60, a little more than two years ago.

The following year, she was diagnosed with cancer. Up until then, she’d always had great health.

Jim and I visited her in early December 2016 and she was in considerable pain. She was very weak and fatigued, and unable to manage her affairs without assistance. Melinda said that she feared falling while dressing and bathing. She also confided that she hadn’t saved much money over the years and was left to care for herself during this most difficult time of her life.

Melinda Didn’t Know She Could Afford the Care She Needed

I explained to her that needing chronic (not temporary) standby or hands-on assistance with bathing and dressing would cause her long term care insurance policy to pay. She’d be entitled to collect about $3200/month if she’d acknowledge her need for help. Melinda was ready to start the process.

Only because she owned long term care insurance, Melinda was able to move to a high-quality assisted living facility, where she spent the rest of her life. The assisted living facility was in a ranch house in a sub-division, modified for people needing care. Not all assisted living facilities are large communities. And many of these facilities keep patients through the end of life, as this one did.

I visited Melinda at her assisted living facility about a month before her death. While spending the day with her, I was impressed by the caring, peaceful, nurturing atmosphere. The ratio of caregivers to residents was about 1:3 – higher than you’d find in a larger, more commercialized facility.

Melinda often commented on how pleased she was with the facility and her care. Her bedroom had a large picture window. Through it, we enjoyed the sunset together and watched the shadows dance across the wall. We had a beautiful visit together. Then we said goodbye to each other. Caregivers were attentive to her. It was a very dignified place. She was truly cared for.

Long Term Care Insurance Bought Melinda Peace

Melinda was able to spend the end of her life in this residential environment, tying up loose ends, making amends, enjoying visits with friends, all with grace and dignity.

Without her long term care insurance, the outcome for Melinda would have been entirely different and not nearly as good. She would have had to stay in a friend’s home, trying to “tough out” her situation. She would not have admitted her true needs, for fear of imposing on her hosts. Without the benefit of a trained medical staff, she would have been a frequent visitor to the emergency room, accelerating her decline, her morale and her overall quality of life. She would have felt unsafe and fearful.

Instead, Melinda got beautiful sunsets, gentle conversations with friends and a team of trained caregivers.

Melinda’s long term care insurance carrier, MedAmerica, could not have been more helpful and willing to pay her claims. Without her long term care insurance, I believe Melinda would have passed away much sooner, and with far less dignity, grace and peace.

Hybrid LTC Policies

January 25, 2016 by Honey Leave a Comment

My love affair with Forbes contributor Wade Pfau continues. He’s written another clear, concise, accessible article on a complicated subject: explaining the newer, asset-based (also known as “hybrid”) long-term care (LTC) products.

In this piece, Mr. Pfau also explains the differences and the pros and cons between traditional long-term care insurance (LTCi) and the newer, asset based (hybrid) life/LTC plans. This part of the article gets a wee bit more technical, but it is clearly written.

Since I have a life insurance background, I understand asset-based (hybrid) LTC plans well and I like them.

Which choice is better? The jury’s out. Each approach has advantages and disadvantages.

The Big Picture is: take the risk of needing LTC seriously. It is real.

What’s the best insurance policy? Trick question. It’s the one that’s in force when you need it!

One thing is clear: to make the wisest decision you can, and to be very satisfied with it, you’ll need the assistance of an experienced, ethical, qualified professional…like myself!

Request a Free, No-Obligation LTCi Quote