Long Term Care
Long Term Care is needed when a person becomes ill or has a disability
that makes them unable to carry out their activities of daily living, with the probability that this disability will continue over the long term. Quite often, it is
the elderly who require care over the longer term because of increasing frailty due to ageing or the effects
of a stroke or a fall.
Long Term Care can also be required for people suffering mental illness such as dementia or Alzheimer's Disease. A
person suffering from dementia will need personal supervision and assistance to carry out normal daily
activities.
The care required can take many forms, from simple domestic assistance to medical interventions and may be provided
in a residential or nursing home or in the person's own home. A residential care home does not provide nursing
services which are provided by the NHS or nursing homes.
Many people would expect the National Health Service to look after them. But the NHS no longer covers all the costs
associated with the care of incurable conditions in old age. We are all living longer and unfortunately, this
increased longevity is not always matched by increased good health in the later years and there is a high
probability that some form of long term care will be needed. In fact approximately 47 percent of people of 75 have
a long standing illness that limits their lifestyle.
In addition to the demographic trends, social and political changes are also contributing to
the need for people to consider some kind of provision. The growing pressure on local government spending means
that Social Services departments will no longer automatically pick up care bills. The NHS will only provide and/or
pay for the Nursing Care Service Component of a person's long term care service needs. All other costs and services
associated with long term care are the care recipient's responsibility unless they qualify for Local Authority
assistance.
It is therefore important to consider options to provide income for Long Term Care. Long term
care can be covered completely or in part by long term care insurance. Most plans let you choose the amount
of the coverage you want, as well as how and where you want to use your benefits. A comprehensive plan
includes benefits for all levels of care, custodial to skilled. Some options that could be considered
are:
• A pre funded policy
Could be ideal if you don't think you'll need care for quite a while. You can pay in one lump sum or make regular
payments.
• An immediate need policy
Useful if you need to pay for care straight away.
You use a lump sum to buy an annuity. The income from this then goes towards your care.
• Home Equity Plan
Whether you or your partner go into a nursing home or receive long-term care in your own home, this plan lets you
use some of the value of your property to pay for it.
For everyone, long term care is an issue that simply cannot be ignored. Avoid having to use your lifetime savings
or selling your home, discuss your options with one of our specialist advisers.
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