During a new estate planning consultation, I will always ask my client whether they own a long-term care (LTC) insurance policy. Whether a client has funds set aside through such policy to offset their long-term care needs is an important part of creating an appropriate and sound estate plan. It is our practice to review any policies our clients have purchased to assure an accurate understanding of the benefits such policy will (and will not) provide.
By way of background, long-term care insurance is an insurance product that helps pay for the costs associated with long-term care. Long-term care insurance covers care generally not covered by health insurance, Medicare or supplemental health plans. This coverage can include payment for assistance with activities of daily living (for example bathing, dressing, grooming) and can provide reimbursement for such care in a variety of care settings, including at home, in an assisted living facility or at a nursing home.
