Long term care insurance
There is a real chance that at some point in your life you may need to enter a long term care facility or receive special medical care in your home. This type of care does not come cheap, and depending on the level of care you may want or need, the cost may not be paid by your government health plan.
With the benefit that comes from long term care insurance, you may not have to withdraw from your savings, or fully rely on other sources of funding.
Two types of protection
There are 2 types of long term care insurance policies:
- One reimburses you for eligible expenses you receive on a given day, up to a pre-set maximum.
- The other type of long term care insurance is the income-style plan, which is more flexible. It offers the income when you require the care, without having to prove you had expenses.
Sun Life Financial offers the income style plan. You can use the income benefit to cover any type of service, including care received from family members.
Definitions
Long term care may include:- nursing care
- rehabilitation and therapy
- personal care (help with activities of daily living like dressing, eating and bathing)
- homemaking services (meal preparation, cleaning, laundry)
- supervision by another person
Care may be provided in the home, in the community (e.g. Adult Day Centres), or in a facility that provides long term care.
| Sun Long Term Care Insurance is an income style plan that pays a regular income. It is not a reimbursement plan. | |
| Benefit types | Both of these benefit types can be selected, and they may be paid concurrently. |
| Comprehensive benefit | Income benefit is payable if the insured person is:
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| Facility care benefit | Income benefit is payable if the insured person is:
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| Physically dependent | A person is physically dependent if he or she requires assistance from another person to perform 2 or more of the 6 activities of daily living or if continual supervision is required because of deteriorated mental condition. |
| Activities of daily living |
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| Product details | |
| Issue ages | 21-80 |
| Benefit amounts |
If both benefit types are selected, the comprehensive weekly benefit must be at least 50% of the facility care weekly benefit. For example, if the facility care benefit is $1000, the comprehensive benefit must be at least $500. |
| Duration of benefit |
These may differ for each benefit type. |
| Waiting periods |
Comprehensive:
Facility care:
If there is a relapse within 180 days a new waiting period is not required. Waiting period may differ between benefit types. |
| Plan of care | Comprehensive benefit comes with one free optional plan of care. A plan of care outlines in detail the types and amounts of care the insured person needs to have their care needs met. For example, they may need a personal support worker to help bath them 5 times per week. |
| Options |
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| Premiums |
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| More information | Sun Long Term Care Insurance sample policies |