U.S. Military (Ret.): Now is a good time to think about long-term care options - Military Retirement - Navy Times

U.S. Military (Ret.): Now is a good time to think about long-term care options

The start of the year is an ideal time to sit down and review your personal financial information.

I do this myself every year, going over life insurance needs, health care costs, medical power of attorney, dependent information and any investments I would like to change.

One thing I’m reviewing is the Federal Long Term Care Insurance Program. I haven’t enrolled yet, but I know several retirees, both military and civil service, who have. None of us can stop Father Time, and when you get to a certain age, long-term care — how you will ensure you are cared for in your senior years — is something to think about.

Basically, long-term care insurance is coverage for care or assistance in a nursing facility, in a home or in a community environment.

The costs of the federal program, open to all active-duty and drilling reserve component members and military retirees (including “gray area” reserve component retirees), varies depending on the type of care provided and your age and other personal circumstances, but for someone in his mid-50s, for example, it generally runs from just under $100 a month to almost $200 a month.

As military retirees, do we need long-term care insurance if we receive guaranteed lifetime retirement pay? Well, that depends. Monthly retirement pay may help defray the cost of assisted living, but it won’t cover everything, especially if you still have dependents when you enter assisted living. And it’s important to keep in mind that neither Medicare nor Tricare cover long-term care.

Long-term care insurance makes sense if you want to protect your assets from being used up by long-term care costs, stay financially independent as you age, shield family members from bearing the cost of your long-term care and provide peace of mind — especially if you have a family history of chronic illness or disease.

As with any insurance policy, the sooner you think about it, the better your available premium rates will be. Financial experts generally advise that the best time to consider long-term care insurance is about five to 10 years before retirement.

Again, the federal program has a variety of options that can be tailored for individual situations.

To get more information and noodle with cost calculations based on your circumstances, visit the Office of Personnel Management’s website at www.opm.gov/insure/ltc

And if you’re enrolled in the program or already using the benefit, drop me a line and let me know what you think of it.

Retired Command Master Chief Alex Keenan served 28 years in the Coast Guard. Email him at retired@militarytimes.com.