There are factors to consider when looking at LTC policies. First, review your income. If you have to spend more than 10 percent of your income on LTC insurance, you can t afford it. For someone wanting to protect a significant estate for his or her children, an LTC policy makes financial sense. But not everyone considers this an issue.
Many people accumulate assets as a way to self-insure against future health care expenses.
This is a valid financial decision as long as the assets aren t drained before time runs out. Here are a few statistics that might help you decide. According to insurance industry sources, about 43 percent of Americans age 65 or older will spend time in a full-care nursing home facility. Carefully evaluate your needs before signing up for an LTC policy. If you have a family history of diseases that increase the odds of a long stay in a nursing home and think you will need help paying bills for custodial care or want to protect your estate, then you are a candidate for such insurance.