The Concept of Long Term Insurance Model
Long term care insurance as opposed to traditional health insurance, is intended to cover long term supports and services which includes custodial and individual care in a range of settings, for example, in community organizations, homes, and any other facility. Long term care insurance policies compensate holders of policies a daily amount which is up to pre-certain limit for services to help them with activities of day to day living. Activities of day to day living include dressing, bathing, and even eating. An individual has the option of selecting from a variety of benefits that enable them to access the services they require, and where they require them. The long term policy cost are based on the precise age at the time you are buying the policy, the maximum amount that policy will have to pay daily, and the maximum number of years the policy will be paying. Further, the maximum amount each day multiplied by the number of days indicates the lifetime amount a policy is required to pay. Lastly, any other optional benefits an individual chooses, for example, benefits that proliferate with inflation (Shi and Singh, 2014).
The Benefits of Long-Term Insurance Model
Long term care model entails the need for assistance such as prompting including activities of day to day living. Such activities are transferring, bathing, dressing and toileting. In addition, it involves incidental activities which are housekeeping, managing finances, cooking and transportation. Long term care can be offered formally or informally in a range of settings. Options regarding care settings have extended intensely over the past decades to entail a wide range of in place aging communities, formal home care, retirement communities that are naturally retiring, assisted as well as independent living facilities, and a range of care communities (Ruggiano and Edvardsson, 2013). However, friends and family offer the bigger number of long term care in an informal way without pay. The informal and unpaid care, has a hidden economic effect, mainly on members of a family, and encompasses household income as a result of time as well as concentration away from work, coupled with the costs incidental to care.
Delegate your assignment to our experts and they will do the rest.
Long term care consumers are categorized into two. They include the frail elderly and the disabled. Particular care needs are greatly personalized and differ depending on individual conditions, goals and abilities. Care offered to Americans who are disabled typically aims at maximizing independence and supporting them to lead long, and productive as well as fulfilling life. However, frail elderly care typically portrays the problems of the aging course and unavoidably end-of-life goals and concerns (Shi and Singh, 2014).
The frail elderly are the older adults who combine chronic disorders entailing dementia and who need help with day to day activities as a result of physical and mental deterioration. Mostly, the elderly are those above the age of 65 years. But, those individuals over the age of 85 years, usually referred to as the oldest-old are at the risk of being frail and need long term care assistance. The oldest-old population is anticipated to grow radically in the next years. The baby boom generation started turning 65 years in 2011. Within the next 20 years the baby boomers will double the age population of 65+ while increasing the 80+ population by 110%. At a minimum, 70% of baby boomers are anticipated to require some long term care services at specific instances. 40% are anticipated to need nursing home care (Shi and Singh, 2014).
The numbers might become conservative due to the increases of medical innovations which increase life expectancy even further. Other demographic trends for baby boomers cohort show their absolute numbers are not the sole features possible to strain the long term care model. When compared with the past generation, baby boomers are vulnerable to divorce, have female children working and have fewer children. These are the factors that show a family is caring less which is difficult for caregivers. Moreover, the baby boomers have not made enough savings towards their overall retirement expenses. They are essential unprepared for expenses which are unplanned for instance long term care needs. The baby boomers expect the money strapped government privilege programs to fill up the gaps of their savings (Ruggiano and Edvardsson, 2013).
The disabled entails a range of cognitive and physical impairments which affect at least a major life activity. The disabled population has up surged in the current years partly as a result in the healthcare improvement which have decreased rate of mortality. Nonetheless, most of the development is as a result of countries restructuring services that support the disabled and substituting a rage of programs focused at particular subgroups of the disabled population with the provision of care through Medicaid program. However, not the entire population of the disabled may need long term care support, and majority may need only irregular care. The source as well as onset of disability as well greatly affects the capability of a disabled person or the family to care through self-finance. Nevertheless, today’s policy does not get rid of the family of its duty to help and support the disabled person to reasonable points. It is still allowed that resources of a society will often be needed to support as well as improve family care and to offer care when support of family is lacking (Ruggiano and Edvardsson, 2013). Obstacles to Adoption
Individuals have become more aware of how simply long term care for the aged can do away with life-time savings. Insurance companies are on a quick move to capitalize on the opportunity due to fear. Long term care insurance has been marketed as protection contrary to the long term care costs. Nonetheless, the type of insurance is expensive as well as offers mostly limited benefits and accompanied with several restrictions, terms and conditions. Thus, it may solely cover a minimal percentage or nothing completely of an individual’s total costs of long term care.
However, there have been improvements in the sector due to pressure from the consumers; negative media exposure as well as competition from other insurance companies joining the marketplace. Long term care have somehow improved such as clear terms and restrictions, which provides consumers with better concepts on what to anticipate for their cash. Several policies now provide coverage which entail types of assisted living residence above the regular nursing facilities. Many policies allow the aged to use a pool of benefit resources for either residential long term care or home care as opposed to only a single or the other. Eligibility to qualify for the benefits have been made loose and policies allow policy holders downcast in a bid to lower coverage levels, for premiums that are low incase continuing to pay higher benefits become difficult financially (Légaré and Witteman, 2013).
References
Légaré, F., & Witteman, H. O. (2013). Shared decision making: examining key elements and barriers to adoption into routine clinical practice. Health Affairs , 32 (2), 276-284.
Ruggiano, N., & Edvardsson, D. (2013). Person-centeredness in home-and community-based long-term care: Current challenges and new directions. Social work in health care , 52 (9), 846-861.
Shi, L., & Singh, D. A. (2014). Delivering health care in America . Jones & Bartlett Learning.
