September 1999

Long Term Care Insurance Not Just for Elderly

By Ed Parker

While more than half the people needing long term care today are 65 years old or older, those between ages of 18 and 64 make up 40 percent of this population. A motor vehicle accident, stroke, heart disease, or chronic illness can incapacitate anyone. The NYSSCPA offers a long term care insurance plan, underwritten by the Travelers Insurance Co., that pays 100 percent of covered expenses, up to the full nursing facility care daily benefit amount for care in a nursing, Alzheimer's, or hospice facility.

The plan covers community based care, adult day care centers, home health care, and the services of such licensed home care providers such as nurses (RN, LPN, and LVN); physical, respiratory, occupational, and speech therapists; and dietitians. Benefits also include the guaranteed ability to renew for life, premiums based on age at time of purchase, 10 percent marital and 20 percent healthy spouse discounts, and a 30-day free policy review.

Society members ages 40 to 79 can apply. Policyholders qualify for benefits if assessed to be "chronically ill;" that is, they are unable to perform (without substantial assistance) at least two "activities of daily living"--e.g., bathing, dressing, and eating--for a period of at least 90 days, due to a loss of functional capacity.

The reality is that many of us live to much older ages. Depending on a spouse or relative for long term care may not be a practical solution. Nursing home fees are only a small percentage of the associated costs. With the Travelers Insurance long term care plan, Society members can better maintain financial independence, help protect hard earned assets, and take advantage of tax breaks since benefits received from qualified long term care insurance policies are not subject to federal income tax.