As people reach the age of 65 or older, their risk of health problems and disabilities increases. Medical expenses for certain long-term health conditions and disabilities can be expensive and may create problems for retirement. This is why some people turn to insurance companies for financial help. However, health insurance companies do not tend to cover the long-term treatments or at-home assistance that declining health requires. Medicare may cover some expenses, but is often limited and has strict rules.
Long-term care insurance and long-term disability insurance are designed to cover basic living expenses and long-term treatments. Knowing the difference is important for deciding which one is best for you. A Pennsylvania individual disability insurance lawyer can help you figure out your options based on your current situation.
Long-term care insurance is designed to cover long-term care expenses for people who are struggling with a chronic illness, disability, or similar long-term condition. Policies can vary depending on the insurance provider you choose. Some may cover expenses for at-home care, nursing assistance, therapy sessions, and adult daycare.
The downside about this type of coverage is that you may encounter trouble obtaining benefits if you have a serious health condition or are deemed too old. Expenses tend to be higher for older people. Preexisting conditions may also complicate the application process. Some insurance companies reject people with these conditions or may withhold payment for care for a certain period.
This is why asking a potential insurance company questions is vital for deciding the next step. You can also talk to a lawyer who has experience with long term care insurance. In general, you could be eligible for benefits if you require assistance for two or three activities in daily living.
Long-term disability insurance is offered for people who are unable to work full-time or can only work part-time because of their disability. This type of insurance can come in the form of individual or group long-term disability insurance. The biggest difference between this insurance and long-term care insurance is that disability insurance covers lost income. This insurance is also provided by private not public companies.
To qualify, you will need to meet the Social Security Administration’s Blue Book definition of a disability. Disabilities can impair mental or physical functioning. You will need documents from your doctor as evidence for your condition. Even after your application is completed and sent off, you will encounter a waiting period.
The waiting period typically lasts between when you leave your job and when benefits start. This may last 90 days to a year, so it is a good idea to be financially prepared.
If you are unsure which type of insurance program best fits your situation, consider talking with an experienced Pennsylvania group disability lawyer. You can call Edelstein & Nelson at 800-887-4529 today for a consultation. We will work with you to figure out your current needs and financial status to increase your chances of obtaining the benefits you need to afford your upcoming expenses.