If you have reached the age of 65, you have a very good chance of making it to 85. If you are 85, there is a very high probability that you or someone close to you will be affected by the need for extended long-term health care.
The most serious long-term health care is residential nursing home care. In (your state), the average cost of this care is $X to $X a month, depending on care and location.
You can cover this cost in three ways:
- You can write a monthly check out of your personal funds until your money is exhausted or reaches a certain minimum level.
- Then you can go on welfare assistance through the state Medicaid program. The state reserves the right to decide where to place you for that care. Or,
- You can have a major insurance company pay all or the majority of the health-care costs through a LTCI policy.
LTCI is for those who would prefer No. 3.