How Else Can I Pay For Long Term Care?
There are other options that you may need to consider in order to pay for long term care services:
- Savings and Investments: A savings or investment plan may help pay for long term care services. A retirement plan such as an IRA or 401K plan may also be available to you.
- Life Insurance: A life insurance policy may offer the opportunity for a loan or withdrawal of the cash value. In addition, a person who is terminally ill may arrange for an accelerated cash lump sum death benefit from his life insurance company or for a cash lump sum (called a viatical settlement) from an outside firm. (Note: not all life insurance companies offer an accelerated death benefit option). These cash lump sum benefits are paid in lieu of the policy’s death benefit.
- Equity in Your Home: If you have built up equity in your home, you could use the profit from the sale of your home to fund long term care costs and move to less expensive accommodations. Another option is a "reverse mortgage," which is a loan based on the amount of equity you have built up in your home.
- Other Housing: You may be able to buy into a Continuing Care Retirement Community where the cost includes future access to long term care services. You may also find shared housing with supportive services.