Selecting a rider for long-term care insurance coverage can be a bit confusing. You may already have certain healthcare or medical coverage and feel that a long-term care coverage rider is unnecessary. However, there are certain instances where a long-term care coverage rider is the best option for your needs. Depending on the type of insurance you have, type of annuity you have or other factors, you may consider certain riders. The following are considerations to take into account when you're selecting a rider for long-term care coverage.
Coverage You Already Have
The first thing you should consider when selecting a rider for long-term coverage is the coverage that you already have in place. For example, if you have major medical insurance coverage then you would want to look into annuity combinations or life insurance combinations with long-term care coverage riders. This is because you already have medical insurance in place that may have long-term care coverage options. If you do not have long-term care coverage options with your major medical program, then a long-term care coverage rider would be a good choice. The main point here is to make sure the you are considering the coverage you already had and not doubling up on coverage which could mean the you had issues with payment later.
Amount of Coverage
You will also want to consider the amount of coverage that riders will give you. If you have an annuity that pays out a certain amount per year, then you may obtain the amount of coverage you need to meet all of your medical needs. For example, you may have major medical coverage, and annuity coverage, and you only need a small amount of long-term care daily coverage. A policy for $200 of daily coverage maximum benefits would meet your needs perfectly and would allow you to cover any needs that you have without any out-of-pocket expenses other than the co-pay. In order to determine the amount of coverage you already have, you will need to review your insurance plans, what they cover, and any annuity plans or other outside sources that you have before adding a long-term care coverage rider to that plan.
Benefit complications are an issue for some individuals who may be trying to add a long-term care coverage rider to their pre-existing medical coverage. In order to ensure that you are not causing a benefit complication, you will need to check with your major medical insurance provider in order to determine what would cause an issue is a primary coverage or secondary coverage providing benefits. This will let you know if you need to take the long-term care coverage as a rider to avoid any benefit complications or if you need to have as a stand-alone. This is something that is very individualized according to the insurance plan and carrier. If you are concerned if you will have complications, one of our professionals will be happy to assist you in determining if you should have a long-term care rider or if the long-term care coverage should be standalone.