Paying Long Term Care Costs
If private home or facility care is what you want for you and your spouse, then the most important thing now is determining how you will pay for it.
The cost of private care in Canada today ranges between $2800 and $9000, per month per person.
There are three methods to pay for this care.
1. The first is to pay for these costs yourself or self fund.
2. The second is to transfer the risk by purchasing an insurance contract.
3. The last is to use a combination of the first two.
Self funding is fairly straight forward. If you have been fortunate enough to have accumulated sufficient assets, you can pay for the costs of care yourself. This is however, the most expensive method and can also have a devastating impact on the assets you had planned to have transfer to your family or charity upon your death.
Transferring the risk through purchasing an insurance contract is the most cost effective method of funding future care costs. The contract can be set up to pay for all or a portion of the future costs, should you need it. This method can also help you to preserve and maximize your estate for your family and or charity.
The combination of self funding and insurance can provide the best of both worlds if it is not important to maximize your estate.
If you are interested in receiving more information regarding these options and associated costs, please contact us.