As one of our California readers, you are well aware that a long term disability could change your life forever. Furthermore, if you don’t have the appropriate protection in place, you could find your financial situation taking a turn for the worse.
Regardless of your age or current level of health, it is important to plan for the potential of a long term disability in the future. Nobody wants to think about this or hopes that they are put in this position; however, it could happen at any point in time.
The lack of a long term care plan could quickly derail your future goals. The financial risk associated with this is great, with studies showing that as many as 50 percent of people who reach age 65 will at some point require long term care.
With all this in mind, it is a must to have a plan and strategy for paying for long term care. One of the best ways of doing so is to purchase long term care and/or long term disability insurance. Many people opt against this because of the upfront cost, combined with the fact that they are unsure if they will ever need to make a claim.
Just the same as any type of insurance policy, your goal is to reduce the financial risk associated with the cost of long term care.
The primary risk of not planning for a long term disability is a worsening financial situation. With the right insurance policy, you can make a claim should anything happen to your health that leads you to needing long term care.
Source: ABC News, “The Risks of Failing to Plan for Long-Term Care Costs“, July 1, 2014