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The Investment That Protects All the Others

Maryland Construction Network is pleased to announce a NEW benefit for our members.

We work our whole lives to accumulate assets and build security for ourselves and our families. But life happens…and over a few years…or in an instant, lives can change.  One catastrophic event, illness or condition can wipe out assets – and the lifestyle they support – faster than the best financial and retirement planning can accumulate them.

Long Term Care issues touch literally all of us, personally and professionally, self or loved ones, as an employer or employee, recipient or caregiver, parent or child.

Recognizing these realities, MCN has partnered with LTC Specialists, LLC to create two plans specifically designed for our members:


For details on each of these programs, click the links above.

For a free consultation and quote click here or c
all:  443-951-4777 | 833-LTC-PLAN (582-7526).


 

General Information About Long Term Care

What is Long Term Care?

Long Term Care (LTC) refers to the support services people may need to perform the personal care tasks of daily living because of a physical or cognitive impairment (such as Alzheimer’s or Dementia.)  These tasks include eating, bathing, dressing, toileting, transferring and maintaining continence.

Who is affected?

Few among us have not been – or will not be- impacted, personally or professionally, as children or parents, employer or employees by the demands and stresses of Long Term Care.  The challenge is only getting bigger as the population of Americans continues to grow every year. As is the cost of the care.

According to recent studies…

  • 70% of Americans age 65 and above will require long term care services at some point in their lives.1 And contrary to popular perception, LTC is not just for seniors.
  • 40% of those who receive long term care are between the ages of 18 and 64.2
  • If you include those who are impacted as caregivers, the number goes still higher. Nearly 1 out of every 3 Americans is tasked with caregiver responsibilities. (29% of the U.S. adult population)

What are the costs of care?

Nationwide, long term care costs currently average between $50,000 – $120,000 per year. Home care is about $50,000, nursing home $120,000 and assisted living somewhere in between.  The costs are rising about 4.5% per year, an increase over 2.5 times the U.S. annual inflation rate of 1.8% (Genworth, 2018).  It is worth mentioning that a common misconception is that LTC is nursing home care (aka skilled care). In fact, over 70% of long term care is provided in the home, which is where most people would like to receive it.

In Maryland, the 2019 cost of home care is about $4,500 per month and is expected to rise over 3% per year. For cost of care information in your area, please click here. (https://www.genworth.com/aging-and-you/finances/cost-of-care.html) 

Who pays for the care?

Long Term Care is paid for in the following ways:

  1. Self Pay
  2. Medicaid, the federal program set up to help the indigent
  3. Long Term Care Insurance

A common misconception is that Medicare will cover these costs. This is not so. The reality is that Medicare pays only up to 100 days and carries rigid hospital stay requirements. The duration of most LTC claims is many years and often does not necessitate a hospital stay.

Another misconception is that “My family will take care of me so no need to worry about paying for the care.”  The reality is that caregiving is hard. It takes a toll on the family, emotionally, physically, financially and especially on women, who usually are tasked with these responsibilities.  Caregivers are twice as likely to experience depression and anxiety and other medical issues themselves. There is also cost to the family of the caregiver’s lost wages due to diminished working hours.

It is no wonder that LTC is generally regarded as the #1 threat to retirement security for most Americans. Without a plan, most families nearly exhaust their life savings and other assets in a matter of a few years.

A universal truth: Strategies put in place before they are needed are almost always better than those implemented after the fact. (when options are more limited, more costly, and health may not be as good.)

What does Long Term Care Insurance cover?

Each policy is different, so you’ll need to work closely with one of our LTC Specialists to make sure you choose the coverage you need. But in general, Long Term Care Insuarance can help you pay for:

  • In-home care
  • Nursing home or specialized dementia care
  • Assisted Living
  • Day programs
  • Respite care
  • Hospice Services

For older adults who want to age in place, long-term care coverage can make it possible. Most comprehensive long term care policies pay for in-home care if you need help with activities of daily living like dressing or household tasks like paying bills, cooking, and light housekeeping. These policies typically also pay for in-home therapies and skilled nursing services you may need, which can mean the difference between living at home and moving to a nursing home.

Other things your long term care policy may cover include training for a family member who will be your caregiver and home modifications like wheelchair ramps. We can help to clarify whether these benefits or others are part of the policy you choose.

One lesson we have all learned is that life can change in an instant.  Strategies put in place before they are needed are almost ways better (more options, greater eligibility, less costly) than those put in place after the event.  

The purpose of Long Term Care insurance is to protect the things you have worked for and  you and your family hold dear. That is why we refer to LTC insurance is “the investment that protects all your other investments.”

For more information or to get a personalized quote,

Call:  443-951-4777 | 833-LTC-PLAN (582-7526)

National Clearinghouse for Long Term Care Information, 2008
2 Prudential Financial Inc. Newark, N.J. 2010 Long Term Care Cost Study

3 Prudential Research Report: Long Term Care Cost Study, 2010