Planning for the Unthinkable: Long-Term Care Asset Protection Plans

As individuals age, they face new problems. What will happen to your family if you are suddenly unable to work or if you or your spouse suddenly become ill and have huge medical bills? Do you have a plan for the care you want should you no longer be able to communicate your wishes to others?

If you are also concerned about your loved ones misusing their inheritance or being unable to utilize assets that you leave to them because of creditors, you may need to rethink your estate plan entirely. A long-term care asset protection plan allows you to deal with a variety of issues that have a direct effect on your loved ones. It may be the perfect estate planning tool for your needs.

What is a Long-Term Care Asset Protection Plan?

A long-term care asset protection plan allows you to plan for situations where you are no longer able to take care of yourself from a health or financial standpoint. You can also ensure that property you leave to your loved ones actually ends up in their hands and they use it in a way that you intended. This type of plan accomplishes several very common estate planning needs in one incredibly valuable strategy.

Long-term care is often associated with medical conditions like dementia, cancer, or another degenerative disease. Costs for this type of care can be extremely high. Failing to plan properly may force massive medical debts on your spouse, children, or other loved ones. It can also cause family conflict and stress. You may even hand decision-making authority over to someone that the court designates.

The Asset Protection Part of the Plan

When you have significant medical bills because of long-term care, it may eat away at the assets you have left to leave to loved ones. Family may also have outstanding obligations to medical facilities and hospitals for your care as well. When you use a long-term care asset protection plan, you can shield some of your assets so that they are not all just wasted on paying creditors for your care before your passing. Some of those assets can still pass to loved ones and may be used as you designate.

Planning correctly can also ensure that you remain eligible for Medicaid or VA benefits to help pay for your long-term care costs.

Getting the Legal Help You Need

As Americans are living longer and the likelihood of contracting a debilitating disease or health condition increases, so does the importance of estate planning tools like long-term care asset protection plans. We want to help you create a plan that works for your unique needs. Contact our team for more information.

Written by Legacy Planning Law Group

Legacy Planning Law Group is dedicated to working with individuals and families to help protect the assets they have built throughout their life, and make everything simpler for families who have lost a loved one. We help thoughtful people achieve the peace of mind that comes with planning their personal legacy and passing on family harmony.