This type of care is not covered by Medicare because it is ongoing and may or may not require skilled nursing. Medicare has strict limitations on what is covered and for how long.

So, why would you buy this coverage? First, this is a gift to you and your family because it preserves the family relationship and prevents family members from becoming care givers. Since over 40% of those currently receiving care are under 65 years old, even younger families can benefit from this coverage.

Long term care coverage allows you to:

* Maintain your independence

* Control the quality of your care

* Have peace of mind for you and your family

* Protect your assets from being depleted for care

* Preserve your relationships with family and friends

There are a number of ways to obtain and fund this type of coverage and a variety of products on the market that you can select. You also have choices about the type of benefits you want to have. This allows you to design a plan that fits what you want and need. You can also "stack" plans by buying a starter plan earlier in life and adding more benefits with another plan later.

In Ohio and some other states, there are "partnership" plans available. This new legislation requires that agents have partnership training to be able to sell you long term care insurance. It is important to ask your agent if they are qualified to sell this type of insurance in your state, so ask them for their long term care credentials.

The most important aspect of buying long term care is to understand what coverage you are buying and how it works when you need it. If you are clear on what you really need, shopping for coverage will be a lot easier.

Medicare Coverage

If you are shopping for Medicare coverage, you need to know that Medicare alone is not enough. Original Medicare is made up of two parts:  Part A covers hospitalization and inpatient services. Most people receive Part A at no cost because they have worked for at least 10 years.  Part B covers outpatient services, like office visits, lab tests and preventive services.  Part B requires a premium which is based on income.  For most people, the premium this year is $115.40 per month. 

Original Medicare works like a lot of health plans in that there are deductibles and co-pays. These can be significant for hospital stays and diagnostic testing.  Most people want to reduce this out of pocket expense by purchasing additional private medical insurance.

There are two options for additional medical insurance: Medicare Supplements and Medicare Advantage plans.  Here are the differences between them.

Medicare Supplements are also referred to as Medigap plans.  Medicare Supplement plans provide secondary insurance that helps to offset some if not all of the expenses Medicare does not cover.  Each type of plan is identified with a letter designation, like C, F, G, etc.  The plans do not vary between carriers, so a plan F is the same coverage with any carrier who offers it.  What does vary is the cost of the plan with each carrier.  It is important to shop not only on price but on the AM Best rating of the carrier.

Medicare Advantage plans are also referred to as Medicare Part C plans. These are also private insurance plans which are approved by Medicare.  They work differently from Medicare Supplement plans because the insurance company assumes all claims liability for each enrollee.  Unlike Medicare Supplements, there are co-pays and other out of pocket expenses with this plans.  There also may be additional benefits offered that are not covered by Medicare, such as dental, vision and hearing coverage.   Some Medicare Advantage plans also include prescription drug coverage and are referred to as "all in one" plans.

Original Medicare (Part A and B) does not cover prescription medications so most people look for a Part D plan.  Medicare Part D is legislation that allows for private insurance coverage on outpatient prescription drugs.  Medicare has a standard model under which all of these plans work and the insurance company can offer richer benefits than the standard Medicare model.  Premiums and benefits vary between carriers, but the key to the right plan for you is based on the prescriptions you are taking.