Long-Term Care Insurance

[tvguy]

Tvguy: you are correct. Nursing homes are not willing to wait for payments from ltc plans. Also there is enough paperwork to be done for carriers we are contracted with. frankly, this is an industry in crisis.

It is in crisis. People are living longer. The fastest growing group of the population is over age 55.
I have lived in an area that 30 years ago had more senior care facilities than any over zip code in our county. And they are building 2 or 3 100 patient capacity facilities every year here.

 

[mefordis]

It is in crisis. People are living longer. The fastest growing group of the population is over age 55.
I have lived in an area that 30 years ago had more senior care facilities than any over zip code in our county. And they are building 2 or 3 100 patient capacity facilities every year here.

They are building one in our town now as well. This is a senior residential facility where people fork over roughly $300k for the facility to hold onto (they get to keep the interest, not the resident) and the resident gets the deposit back when they either move or die (family gets it back). They pay about $1400 a month for a 2 bedroom apartment. They also can buy a meal plan for the dining room. There is a salon, gym, pool, etc. It's just like a 5 star hotel. I think people 55 and over can move in. These places are very popular. I think it's because if you get ill and run out of money they cannot kick you out. So if you move in at 60 and get ill at 70, even if you cannot pay for the assisted living area they move you into, they will allow you there on a sliding scale. Something like that. They DO have your 300k, though. So they may take from that? Not sure.

 

[gwynne]

They are building one in our town now as well. This is a senior residential facility where people fork over roughly $300k for the facility to hold onto (they get to keep the interest, not the resident) and the resident gets the deposit back when they either move or die (family gets it back). They pay about $1400 a month for a 2 bedroom apartment. They also can buy a meal plan for the dining room. There is a salon, gym, pool, etc. It's just like a 5 star hotel. I think people 55 and over can move in. These places are very popular. I think it's because if you get ill and run out of money they cannot kick you out. So if you move in at 60 and get ill at 70, even if you cannot pay for the assisted living area they move you into, they will allow you there on a sliding scale. Something like that. They DO have your 300k, though. So they may take from that? Not sure.

Are you talking about a CCRC? Most (actually probably all) are careful about who they let in. Serious long term illnesses need not apply. It varies what each one considers serious, but it's good to know if someone thinks they can just pay and get in.

 

[mefordis]

Are you talking about a CCRC? Most (actually probably all) are careful about who they let in. Serious long term illnesses need not apply. It varies what each one considers serious, but it's good to know if someone thinks they can just pay and get in.

I meant that people want to get in when they are healthy, then once they fall ill they can stay. I don't believe I said people arrive in the facility sick. My great grandmother is in one now and she arrived I think when she was in her late 80's. Very nice facility. She is allowed to stay as long as she lives. If she gets ill and can no longer live in her apt, they move her over to the part of the facility where they give her long term care. She's 99 now! ONce she passes the apt then can be taken over by one of her heirs if they meet the age requirement. They can either take over the lease or give it up and at that time the 300k deposit will be released.

It seems like more and more of these places are opening.