Bankers Life is excited to introduce SimpleChoice® Fundamental Plus, a long-term care insurance product that provides protection designed specifically for home and facility care needs. Check out this Q&A and see if this product is right for you!
Q: What is long-term care?
A: Long-term care is the help you need if you can no longer perform basic Activities of Daily Living (ADLs), such as eating, bathing, or dressing. These needs can arise as part of the normal aging process or because of an injury or illness, such as stroke or Alzheimer’s disease.
Q: What is long-term care insurance?
A: A long-term care insurance policy, such as Bankers Life SimpleChoice® Fundamental Plus, helps you pay for assistance with Activities of Daily Living. The policy provides coverage for home and facility care needs not less than 12 consecutive months for each covered person. Long-term care insurance policies reimburse you a monetary daily amount (up to a pre-selected limit) for assisted care services.
Q: What is meant by “home and facility care needs”?
A: Depending on the level of care you need, your wishes and your budget, SimpleChoice® Fundamental Plus gives you the option to receive assistance with ADLs at a facility or in the privacy of your own home. Here are choices you may have when deciding where to receive care:
- Home care helps cover care, services and supplies from qualified home health care providers. It helps cover charges related to your home care, such as transportation to medical appointments, domestic services, food preparation and more.
- Adult day care helps cover services at a qualified adult day care facility, including transportation; meals; social, recreational and educational events; visits by a licensed nurse; and occupational, physical or speech therapy.
- Facility care helps pay for care, services and supplies in all covered facilities, such as nursing homes, assisted living facilities, Alzheimer’s facilities, and residential health care facilities.
Q: How much does long-term care cost?
A: Many people are shocked when they learn how much long-term care costs. Check out these national average daily costs of care:1
- Homemaker services: $163 per day
- Home health aide: $169 per day
- Assisted living facility: $148 per day
- Semi-private room in a nursing home: $260 per day
- Private room in a nursing home: $297 per day
Paying for long-term care out of pocket requires significant financial assets, and all too many people are unprepared. In fact, a recent study revealed that only about one-quarter of adults nearing retirement have seriously considered getting long-term care insurance or a savings account for long-term care expenses.2
Q: What are the odds I’ll actually need long-term care?
A: We get it. It’s hard to imagine needing help with Activities of Daily Living, but statistics show us that roughly 70% of people aged 65 and older will need some type of long-term care during their lifetime.3 That means of the 10 neighbors on your block, seven of them will need long-term care; those are high odds!
Q: Won’t Medicare pay for my long-term care?
A: Medicare is designed to cover acute care, or the care you need when you’re sick and recovering from an illness. Long-term care is mainly custodial care, or ongoing help you need with everyday activities. Medicare isn’t intended to cover custodial care.
Q: How much does long-term care insurance cost?
A: Your premium amount will be determined by the length of your coverage, your age/gender, your current health, the elimination period (the amount of time before your policy begins to pay benefits), and the maximum dollar amount you can be reimbursed for covered expenses. SimpleChoice® Fundamental Plus provides customizable options that can help protect your budget, including optional inflation protection, optional tax-qualified plans, and an optional return of premium upon death rider.4
Q: At what age should I get long-term care insurance?
A: Many people think of long-term care insurance as something only for the elderly, but the reality is an illness or injury could create a need for long-term care at any age. Qualifying for long-term care insurance coverage after you’re diagnosed with an illness is challenging and expensive. Applying for coverage at a younger age helps you qualify and lock in lower premiums. Many people purchase long-term care insurance in their 50s.5 This helps them secure their coverage when they’re in good health and can get more affordable premiums.
Q: How do I get long-term care insurance?
A: The first step in getting coverage is meeting with a Bankers Life licensed insurance agent/producer to determine the right plan for you. Most policies require medical underwriting and may require a medical exam. Your agent will be by your side every step of the way to make the process simple!
Q: Is long-term care insurance right for me?
A: If long-term care costs are a threat to your retirement nest egg—and long-term care insurance fits into your budget—then SimpleChoice® Fundamental Plus could be right for you!
Q: How do I get the ball rolling and learn more about SimpleChoice® Fundamental Plus?
A: Get paired with a local agent today!
Bankers Life and their licensed agents/producers are not connected with or endorsed by the U.S. government or the federal Medicare program.
1SeniorLiving.org, Nursing Home Costs in 2023, https://www.seniorliving.org/nursing-homes/costs/, 2023.
2Forbes, Most American are Unprepared for Long-Term Care Costs, New Research Shows, https://www.forbes.com/sites/debgordon/2022/08/02/most-americans-are-unprepared-for-long-term-care-costs-new-research-shows, August 2022.
3U.S. Department of Health and Human Services, How Much Care Will You Need?, https://acl.gov/ltc/basic-needs/how-much-care-will-you-need, 2020.
4These products and its features are subject to state availability and may vary by state.
5 American Association for Long-Term Care Insurance, What’s The Best Age To Buy Long Term Care Insurance, https://www.aaltci.org/long-term-care-insurance/learning-center/best-age-to-buy-long-term-care-insurance.php, 2023.
This is a long-term care insurance solicitation. An insurance agent/producer may contact you.
Long-term care policies are underwritten by Bankers Life and Casualty Company (Chicago, IL).
Bankers Life and its licensed agents/producers are not connected with or endorsed by the U.S. government or the federal Medicare program.
This policy has exclusions and limitations. For costs and complete details of coverage, contact your insurance agent/producer.
This product and its features are subject to state availability and may vary by state.
Administrative office: Chicago, Illinois.
For information and educational purposes only. Does not constitute investment advice or a recommendation.
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