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Many individuals do not realize just how likely is that they will require some form of long term care in their lifetime. In fact, 70%* of Americans turning 65 will require long term care. Many today have health insurance, which typically covers only short-term, immediate medical care. This leaves many individuals financially vulnerable to any long-term medical needs that they might have in the future.

In order for Medicaid to assist in the cost of such care without some form of long term care insurance, you will generally have to spend down your assets to around $2,000, depending on which state you live in. If that’s the case, it’s very probable that the expenses related to your long term care needs will be spent from your retirement savings to foot the bill for such services that will then become necessary.

After a lifetime of hard work, disciplined saving and planning assets for retirement, those assets could unexpectedly become exposed to liquidation. It is also notable that an individual requiring long term care would be subject to a detailed review of up to 5 years of their financial history, to ensure that they have not maneuvered their funds to protect their assets. The individual may still be required to spend down their assets. Remember that 7 out of 10 individuals will require some form of long-term care, making them vulnerable to all of these issues.

Planning ahead of time for this common situation may allow you to shelter your assets in case this were to happen to you. A qualified financial professional can potentially help you obtain the right long term care program that will allow you to do so. This type of insurance can be considered ‘asset insurance’, as it can prevent you from having to drain your retirement nest egg unexpectedly. Don’t let a lifetime of hard work go down the drain, dramatically changing the future that you’ve been planning for. Secure your future today to ensure the life you want tomorrow.

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