Long-Term Care Insurance Shouldn't Be Overlooked

8/8/2010

Consumers got some potentially good news this week in the form of a government report stating that the Medicare fund is now expected to remain solvent until at least 2029, in part due to savings brought on by the recent healthcare reform bill.

However, one important detail for people to remember is that the Medicare program will only fund a certain portion of healthcare needs later in life. This is especially the case for people who end up requiring time in a nursing home or who need the service of a home health aide.

A USA Today report noted that under previous estimates, the Medicare program was expected to only stay solvent through 2017, although the article also quoted Treasury Secretary Timothy Geithner as cautioning that "Congress will have to stick with" the projected savings under the new healthcare bill.

The newspaper also added that the Social Security fund is expected to start running out in 2037, although it will reportedly be able to meet about 75 percent of obligations for decades beyond that point.

While Americans know that they should not depend on Social Security to meet all of their financial needs in retirement, they should also remember that long term care insurance is an important part of planning for future healthcare needs.

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