Brew for stormy aging: Medicaid, health care and economics

Home for the aging

Editor - We are facing the perfect storm of trouble, experts tell us  if we don't
have long-term health coverage. But the problem is more complex than that.  So what is the brew for stormy aging?

Medicaid, as economists and government experts have declared, is facing problems
with funding.  In fact, much of the upcoming storm for many is complicated by budgetary issues and an uncertain future.  

The economy is complicated with the issues of oil and an unstable world, and a past recession where many seniors lost money in the downturn of the economy in recent years. Budgetary issues can create complications that increase the impact of that perfect storm

Not only does caring for an elderly family member cost money, it takes time as well, time away from other family obligations.  In short caring for seniors puts pressure on individual budgets as well.

What's the answer?  While experts bandy about solutions, including national health care, what about long-term care insurance? Insurance agents will paint the picture, often quite accurate, of needs vs budgetary constraints; but the problems might be insurmountable in the face of the recession and the losses of senior's income.

In other words, the perfect storm is the loss of retirement income from stock market problems, loss of full-time work in the years near retirement, decline in health, increase in health costs, over-worked children and other family members.  So the extra cost might be
prohibitive. With an inflation clause a 50-year-old would pay $100 or more for coverage, 65 year old more than twice that.  In addition,pre-existing conditions are excluded during time periods and these areindividuals.

Elderlawgoes in more of these specifics, spelling out the barriers for many seniors and the issues involved.  "The biggest problem with policies now is the cost the premiums being out-of-reach for most seniors and the refusal of insurance companies to guarantee their rates. Another problem with long-term care insurance is that by the time many people purchase
policies, they are uninsurable due to health problems. One solution to this problem, of course, is to purchase policies while you are young and healthy. The other solution is to shop around. Every company has its own underwriting criteria."

The statistics, average costs and benefits are listed here and can be sorted out individually, but the answers aren't as simple as the insurance agent describes.

The problems, however, might mean other answers; and it becomes those issues that might really make the perfect storm.