Many Maryland residents hold certain beliefs about long-term care that could impede them from proper planning and financing and ultimately undermine their care goals for old age. Let’s take a look at some of these popularly-held beliefs and discuss the facts.
Myth 1: Medicare and/or Medicaid pays for long-term care so I’m all set.
One of the most popular beliefs is that the federal government, through its benefits programs like Medicare and Medicaid, will step in and pay for all long-term care needs for all aging U.S. citizens. This is absolutely not true at all. Medicare helps those over the age of 65 with certain healthcare needs, but not long-term care. Even the supplemental plans do not cover long-term care.
Medicaid is a joint federal and state government program that helps people with low income and assets pay for some or all of their health care bills. It covers medical care such as doctor visits and hospital costs, long-term care services in nursing homes and qualifying long-term care services provided at home. Unlike Medicare, Medicaid does pay for custodial care in nursing homes and at home but only for those who qualify due to low income and net worth.
Myth 2: I have health insurance so I’m all set.
Health insurance does not cover long-term care. Some plans will provide for short-term recovery and rehabilitation stays in nursing homes, but not continual care. Long-term care insurance will provide for longer stays; however, many policies only cover a portion (typically 60-70%) of the expenses. Carefully review your policies to fully understand your coverage.
Myth 3: My kids will take care of me so I’m all set.
Unexpected life events can change the course of even the most well-intentioned adult children. Counting on adult children to be caregivers and providers of long-term care needs is an extremely ill-advised and risky plan. Maryland repealed its Filial Responsibility law in 2017 so adult children have no legal obligation to provide care or financial resources for care.
Myth 4: I have enough in savings so I’m all set.
In 2020, the average cost of a nursing home in Maryland is $11,000-$14,000 per month. The duration and level of care needed can change over time and impact those costs significantly.
If you really want to be ‘all set’, contact Stouffer Legal in the Greater Baltimore area for a consultation to discuss long-term care planning strategies. We offer guidance depending on the type of care you want, your health, your financial situation and other relevant factors to ensure you have the best plan moving forward.
This planning is not only for individuals over the age of 65. A disability could impact anyone of any age. Younger people may require long term care at any time due to severe unexpected illnesses, injuries or accidents. Since the need for long-term care can arise at any time in a person's life it is wise to plan in advance. Contact us today to get started. You can schedule an appointment with Stouffer Legal in the Greater Baltimore area by calling us at (443) 470-3599or emailing us at office@stoufflerlegal.com.
