There are many different kinds of insurance scams that target seniors. The National Association of Insurance Commissioners <http://www.naic.org/> provides information and links to help you avoid being scammed.
Home Health Care and Long Term Care Insurance can pay for nursing home or health-aids at home. The costs of these policies have risen substantially in the past few years. Check out several insurance companies prior to purchasing this kind of insurance and make sure to see if these carriers have raised their rates for existing customers over the past few years.
The cost of the insurance depends on several factors including:
One of the best ways to save on your premium is the purchase of a policy with a long elimination period. If the period is 90, 120 ,150 days or even a year, the cost of the policy will be a great deal less than if the period is only 30 days or starts right away. However, the cost of care is substantial; often more than $100,000 a year and most seniors simply cannot afford to pay for their care and for out of pocket for more than a month or two.
Stand Alone Home Health Care policies are generally much less expensive than Nursing Home/Home Health Care Policies. They are designed to pay for care at home, not in a nursing home. There are two advantages.
For example, a 60 year old, healthy, non-smoking male, using A F & L Insurance Company and starting coverage from day one with benefits extending a lifetime would cost about $830.00 per month. Using Physicians Mutual Insurance with benefits starting after 365 days and extending only one year the cost would be about $157.00 for the year. Of course there are many alternatives between these extremes.
(This information was supplied by Gil Nickelson, CLU, ChFC, SFS and is based on quotes which could increase in subsequent years).