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1.
The purpose of state partnership programs that promote long-term care insurance is to _______.
Offer some asset protection to those who buy long-term care insurance but need to go on Medicaid anyway. These programs are meant to encourage people to buy long-term care insurance.
2.
Why does long-term care insurance cost less when you are younger?
The probability of needing long-term care is greater when you are older. Therefore, premiums are higher for older people who buy policies.
3.
Which of the following is probably the most effective way to explore financing long-term care insurance premiums?
Talk with a financial planner. A financial planner can assess your needs and your situation and help you find ways to finance premiums.
4.
The best way to determine how much long-term care insurance to purchase is to _______.
Use a financial planning process to project future income, assets, and needs. How much you can afford for long-term care insurance should be part of your financial planning.
5.
If long-term care coverage is made available in the future by the government, existing policies could become less valuable as a result.
True. The redundancy would render existing policies less valuable.
6.
Medicaid provides long-term care services to those who _______.
Are impoverished. Medicaid is only for those living in poverty.
7.
With a long-term care insurance policy, you are always assured of having a claim covered.
False. Like virtually all types of insurance, long-term care policies have limitations on coverage.
8.
An "alternate care plan" feature in a long-term care policy allows payments for facilities and services that are not specifically covered under the policy.
True. The "alternate care plan" feature is a way of meeting a policyholders needs, as long as it is done cost effectively.