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1.
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.
2.
The term SELF-INSURED refers to _______.
Persons who pay their own long-term care costs out of pocket. Persons who pay their own expenses are said to be self-insured.
3.
Which of the following is the largest state-federal welfare program paying for long-term care today?
Medicaid. Medicaid is the state-federal welfare program that presently pays for the largest portion of the nursing home care in America.
4.
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.
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.
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.
7.
Long-term care insurance premiums are the same for everyone and are therefore easy to determine.
False. There are many factors involved in setting premiums. You will probably need personalized quotes.
8.
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.