Introduction to Long-Term Care
Long-term care helps people with chronic conditions, such as a prolonged illness, disability or cognitive disorders (such as Alzheimer's disease) compensate for limits on their ability to live independently. A variety of medical, personal and social services are available, ranging from in-home care, to care at a skilled nursing facility, care in an assisted living facility or nursing home. Family members often provide long-term care as well. Long-term care differs from traditional medical care as it is designed to assist a person to maintain his or her level of functioning, as opposed to care or services that are designed to rehabilitate or correct certain medical problems.
Paying for long-term care
Long-term care can be expensive. Medicare and Medicare supplement policies don't pay for most long-term care services. Medicaid pays most long-term care expenses for eligible beneficiaries.
Long-term care insurance
A long-term care insurance policy may pay most of the costs for your care in a nursing home, assisted living facility, adult day care, or home care.
Some long-term care policies qualify for a deduction on both your state and federal income tax returns. You may be able to deduct your premiums from your income taxes in the same way medical expenses are deducted. For more information or to see if a tax-qualified or non-tax-qualified long term care policy best meets your needs, contact one or more of the following:
- Your insurance agent or company
- Your tax consultant
- The Internal Revenue Service