Future Issues in Long-Term Care Insurance
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Future Issues in Long-Term Care Insurance
Looking ahead
When another year passes without a devastating house fire or car wreck, we don’t regret having "wasted" money on insurance. Instead, we recognize that insuring these risks is the responsible thing to do and look forward to twelve more months of protection from financial ruin if calamity strikes. But how good will today’s LTC policies be in the future?
Things To Know
- Consider the possibility of changes that could make today’s LTC policies less useful.
Some have questioned the usefulness several decades from now of long-term care insurance coverage written today. Medical and long-term care facilities and services have undergone big change over the years. So has their cost, as well as the roles of government and private insurance in meeting our needs. This will certainly continue, even if not at the same pace.
Other scenarios to consider
But consider the likelihood of changes that could make today’s LTC policy less useful or unnecessary. For example, if LTC services of the highest quality become a universally available government benefit, a policy purchased today will probably end up being redundant and a waste of money.
Alternatively, if LTC coverage were to become integrated into a yet-to-be conceived form of comprehensive, affordable health insurance, today’s stand-alone LTC policy could possibly become less valuable.
Future uncertainty cannot be removed from the insurance purchasing decision—or any other financial planning choice. Each consumer must weigh how much influence to give possibilities like these. But there is presently nothing to suggest either one is remotely likely.