What is Short Term Care?
Short-term care provides support for individuals who are recovering from medical events such as a stroke or cancer treatment. Unlike LTC, which can span a lifetime, short-term care is typically limited to a period of up to 360 days. It helps with daily activities that you might not be able to perform on your own during recovery, such as bathing, feeding, and moving around.
Who Can Benefit from Short-Term Care Most?
- Seniors (65+): Approximately 70% of people aged 65 and older will need some form of care insurance, whether it’s long or short-term.
- Current Long-Term Care Policyholders: Those with existing policies often face elimination periods of 90-180 days. A short-term policy can cover this gap.
- Younger Individuals: People undergoing treatments like chemotherapy or recovering from a stroke can also benefit from this type of coverage.
What is the Coverage You Get in a Short-Term Care Policy?
Short-term care policies are designed to cover the period during which you are unable to perform two of the six daily activities independently. These policies typically pay out a daily benefit amount, which can range from $100 to $300 per day, depending on your plan.
What is the Cost of Short-Term Care Insurance?
The cost of this type of insurance can vary based on the daily benefit amount you choose. For example, a policy that pays $300 per day will have a higher premium than one that pays $100 per day. The exact cost will depend on the specific terms of the policy and your individual circumstances.
How Does Short-Term Care Pay Me?
Once you’ve been diagnosed with needing assistance for two of the six daily activities, your policy will start paying you on a per-day basis. The benefit amount is predetermined by your policy and will continue for the duration of your need or until the policy term expires.
How Do I Qualify?
Qualifying for STC typically involves a medical evaluation to confirm that you need help with at least two of the six daily activities. Unlike long-term care policies, short-term care policies may have more lenient underwriting requirements, making it easier for some individuals to qualify.
Does My Medicare or Health Insurance Cover My Care Needs?
Generally, Medicare and most health insurance plans do NOT cover extended skilled nursing or home care costs beyond a certain number of days. This is where STC insurance becomes crucial. It helps cover the costs that are not covered by Medicare or your regular health insurance, ensuring that you are not left with substantial out-of-pocket expenses.
Why Is This Coverage Important?
Both long and short-term policies are vital for covering the significant costs associated with recovery and daily assistance. Without such coverage, you could be facing expenses that drain your savings and place a financial burden on your family.
We encourage you to contact us to discuss your options and ensure you’re adequately protected. For more information and to join discussions with other clients, visit our private Facebook group by clicking the link below.
https://www.facebook.com/groups/longtermcareqa
Planning ahead is essential to prevent financial strain and ensure you receive the care you need. Give us a call at (817) 886- 5931 and we look forward to helping you navigate your options.
To hear more about this topic, check out our video discussing these topics ???
