Long-Term Care Insurance and Alternatives | Houston Elder Law Attorneys

As Houston Elder Law Attorneys, we know that taking care of an aging relative can be emotional, time-consuming and expensive. Most people who have taken care of an aging relative can tell you there are many costs associated with long-term care that are often not considered. For example, you might need someone besides yourself to start helping with household and personal tasks and/or home health care.

As your loved one’s health declines, you may also have increased medical costs.  It is really best if you consider this in advance so that you can focus on your loved one’s emotional well-being, rather than being stressed about where money is going to come from. The good news is there are a few options for planning for this financial burden.

One option would be hybrid long-term care insurance. These policies combine the benefits of an annuity or life insurance agreement with a traditional long-term care contract. With hybrid policies, the consumer has the guarantee of long term care benefits or, if no care is needed, the promise of insurance benefits to themselves and their beneficiaries.

Another option that would offer income over the lifetime of the individual would be an annuity. Annuities offer security for a steady stream of income with a low amount of risk. Unlike other insurance option you do not have to prove insurability by completing an application with present or prior medical conditions. Many annuities also have long-term care riders which would waive any fees for certain conditions.

Lastly, many single-premium whole life insurance policies have an attached long-term care rider. These types of plans typically have a higher cost and may have a maximum figure that can be applied to long-term care benefits.

There are pros and cons to all of these choices. Selecting the right way to invest so that you are ready for long-term care is tricky, as there is no one-size-fits-all answer. That is why it is critical to talk to an experienced Houston elder attorney before you invest. He or she will consider all of the options above and have several other techniques that you may want to utilize to meet your needs.