Indemnity Long Term Care Insurance Policy Provides Consumer-Directed Option

Indemnity Long Term Care Insurance

Consumer-directed health care is a popular new style of insurance coverage, and it may be a useful model for people considering a long-term care policy, say the advisors at www.Long-Term-Care-Insurance-Planners.com. You may get more control over your care with an indemnity-based Long Term Care insurance policy, sometimes called "cash-based LTC," than with the traditional claims-based coverage.

Indemnity Long Term Care insurance is similar to other long-term care policies in many ways. You still need a qualifying event to begin receiving benefits. Typically, a "plan of care" will still need to be submitted and approved. Either type of policy will likely have a certification period, and then pay only for the days you are receiving care.

However, differences exist that can give you more control. An indemnity Long Term Care insurance policy simply provides you with a check that represents the maximum allowable daily benefit amount stipulated in your policy, much like a disability policy. You could use that money on incurred expenses, or put it in savings to be used when needed. With this type of coverage, you should not have to file a claim or submit receipts.

An indemnity Long Term Care policy might be appropriate for someone receiving care at home by family and friends. It might be simpler to handle, because you would not have to track medical bills and approved caregivers.

But there also are trade-offs, so consumers should carefully consider whether this type of policy is right for their situation. Some insurers may not offer it as a provision of the policy, but may offer it as a rider, which is an add-on to the basic policy. Indemnity Long Term Care is designed for purchase by younger people, and might not be economical for people above their mid-60s. Because the policy is designed to pay out the maximum benefit, rather than pay actual expenses, premiums can be higher than for a claims-based policy.

To review and compare both types of policies, get the best rates and receive competitive quotes on long-term care insurance coverage, visit www.Long-Term-Care-Insurance-Planners.com

"Reprinted with permission, www.Long-Term-Care-Insurance-Planners.com your source for free long-term care insurance quotes online."