Federal Long-term Care Plan

[Scout333]

Fellow TSP'rs have any of you looked at the Federal LTC plan? Anyone compare Federal Plan to individual insurance company plans? Does anyone currently have the Federal Plan? Would appreciate any input you may have! Open season for the abbreviated application ends 6-24-2011 (Friday).
Thanks,

 

[grandma]

Scout, I signed up two years ago. The Dave Ramsey Financial Peace University course I had taken was really encouraging folks to seriously consider it. I did a lot of comparing prices, used the web site to help compare, they sent me packets also. Taking in my family history life span, no chronic nor debilitating illnesses, whatever, into consideration, and the amount of money I felt I could afford, I did find with the Fed's a program that will probably suit my family the best. The program that allows family members to be paid to do care, stay in own home as long as possible were governing factors. You may not want to make a quick decision in the two days left; I needed to have all the information papers laid out on the table, check off this'n'that, erase them later, rethink, re group, it took me awhile to get it figured out. I trust it is the best I could have done if only because of the amount of prayer that went with trying get it accomplished. Numbers have a habit of reversing themselves, disappearing, re-inventing themselves when viewed by my eyes... :embarrest:
The monthly fee is held out of my FERS retired annuity. I am sure, though, that the Federal Plan had more & better selections to put a plan together than the public offerings.
The cost has not increased, I did make sure I had marked for automatic adjustment -( inflation?) Whatever -

I hope this helps -somewhat, anyway...

p.s.-edit
There is a website somewhere that gives comparisons of different companies- I just remember that some were so obviously out of my league or even w/o common sense I didn't need to spend time wit them. I guess I must have used Google to find that...

 

[konakathy]

I've been going over a few different plans also and I'm leaning to the Federal Plan. I just don't know if I should sign up now or wait until I retire at 60. The problem with the Fed Plan is that, who knows when the next Open Season will be.

 

[Scout333]

Thanks Grandma and Kona, I've been looking at this for a while. The www.ltcfeds.com site has several calculators which allow you to compare plans, premiums, etc. and average costs in your area. Still very confusing. I am trying to decide whether to select one of the two automatic inflation options i.e. 4% or 5% or the FPO. As it was explained to me the 4% and 5% inflation options have the cost built into the premiums already. The FPO option has a lower premium initially but will go up later- every two years you will be offered the option to increase your coverage (this is based on the increase in CPI) and your premiums will increase accordingly. You have the option to accept this increase or not. Just as an example, the last FPO increase was approx. 2.8%. To show how costs can increase, a $200 day benefit with a 4% inflation could be as much as $ 468 day in 20 years. Sooo, if you choose the FPO option you need to make sure your coverage is keeping up with inflation/costs. Average nursing home stay is 3 years but could be much longer. My head hurts just thinking about it.

 

[grandma]

The auto inflation choice has been of benefit to me, I believe. When I was getting notices of other insurance rates rising, this one did not. What I got this past January was a note letting me know that the Daily Benefit Amt was increased as scheduled under the Auto Compound Infla Option...with no change in the premium; the benefits, including the calendar year maximum, increased 4% ( a compounded annually feature.)

 

[goforit]

i did see in that the last time this was in an open season was ted years ago. when does the season end is it the 24th of this month(friday)?? i too need to look into this i am 48yrs old and plan to retire in 5-8 yrs and have been thinking of this for awhile is the FED policey as good as it sounds below??

 

[Scout333]

Goforit, the 6-24-2011 date is to apply with an abbreviated application. I.E. 7 basic questions vs. the full underwriting questionaire which has 40 or more questions and much more detailed prying into your medical history, etc. Take some time and look into the federal ltc website. www.ltcfeds.com . JMHO, but yes I think it is a very good deal.

 

[goforit]

thanks i will and thanks for your opinion "very good deal"

 

[grandma]

How do you know if you should even need long term care ? -the fact is unless your family history is clear that you most probably would, you really don't know. Neither Joni Ericson nor Superman expected to need it, whether they even had it is doubtful.
The monthly cost is based on not only what plan you choose, but the age you do buy in. ...it increases as you age - tho it might mean you'd use it for less amount of time, it also means you are coming closer to having to have it.

This Special Enrollment may be just right for some who are already aware they'd be refused in a `full enrollment questionaire." ...I don't know what the questions are.
But you can buy it whenever you take a notion.... I retired at +older than old , and purchased mine after that...

 

[goforit]

How do you know if you should even need long term care ? -the fact is unless your family history is clear that you most probably would, you really don't know. Neither Joni Ericson nor Superman expected to need it, whether they even had it is doubtful.
The monthly cost is based on not only what plan you choose, but the age you do buy in. ...it increases as you age - tho it might mean you'd use it for less amount of time, it also means you are coming closer to having to have it.

This Special Enrollment may be just right for some who are already aware they'd be refused in a `full enrollment questionaire." ...I don't know what the questions are.
But you can buy it whenever you take a notion.... I retired at +older than old , and purchased mine after that...

so i guess your saying take my time look at family historyand maybe wait until retirement? either way you guys have helped me out just to have me think about it and look at this stuff. i think you said that Dave Ramsey pushes this. this i know we listen to him on radio all the time and he is so passionate about long term health care it just seems to be the right thing to at least give a good look at. thanks again.