Should you buy long-term care insurance?

When I give my talk, “7 Actions You Can Take to Stay Out of a Nursing Home”, people often ask about long-term care insurance. This insurance might be a prudent investment, unless you are in one of two income categories.

If you have few assets and would easily qualify for Medicaid, then check with a lawyer who can advise you specifically about spending down if you need to qualify for Medicaid. It will pay for skilled care (most residents of nursing homes are on Medicaid), but will limit your choices on where you go to live, often for the rest of your life.

According to the AARP in 2015, people with sufficient resources to pay $100,000 a year for extended long-term care, can afford to self-pay. Having enough money to fund your own long-term care will give you more options such as home care, high-end assisted living, and some of the more elegant nursing homes, which do not accept Medicaid.

I’m going to include this information in the 3rd edition of my book, to be published soon. Please email me at if this is not clear. It’s complicated!

Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s