If you’ve heard of our innovative WellAhead program, you may wonder how it compares with traditional long-term care (LTC) insurance. Both help you prepare for your future and provide peace of mind in the present, but they differ considerably in their approaches. Take a moment to learn more about these options so you can make the best choice for you.
What Is Long-Term Care Insurance?
A long-term care insurance policy helps cover the cost of long-term care services, such as in-home health care, assisted living, memory care, or long-term care in a senior living community. Policyholders pay regular premiums, and if they ever experience the need for care, they file a claim with their LTC insurance company. The policy may cover all or part of the cost.
Because long-term care typically is not covered by regular health insurance or Medicare, some people purchase separate policies. However, according to LIMRA, many people misunderstand their health insurance coverage and erroneously believe they carry LTC coverage. In reality, just 3.1% of Americans hold an LTC policy.
What Is WellAhead?
WellAhead is a continuing care at home program designed to help older adults invest in their well-being while planning for their futures and protecting their financial assets. A member pays a one-time entry fee, then maintains their membership with an ongoing monthly fee.
WellAhead actively supports members in living independently at home and staying healthy as they age through benefits such as fitness classes and wellness coaching. If a member’s needs change (for example, if they require at-home care or need to move to a WesleyLife Community for Healthy Living), their WellAhead membership will pay for this care at no additional cost beyond the monthly membership fee.
How Does WellAhead Differ From Long-Term Care Insurance?
Both LTC insurance and WellAhead help older adults plan for the future, but these options differ in fundamental ways.
Philosophy
One important way LTC insurance differs from WellAhead is that it benefits members only if their health declines. In contrast, WellAhead is designed to help members remain independent and improve future health outcomes through benefits such as:
- Home modifications to create a safer and more accessible environment
- Wellness coaching to help members define and work toward personal goals
- Fitness centers and classes to help members stay active
- Social networks to help members feel connected
In other words, LTC insurance takes a reactive approach to health and well-being, whereas WellAhead takes a proactive approach. WellAhead aims to keep members thriving at home, but if a member ever needs care, WellAhead grants them access to quality services without the burden of high costs. So, while members invest in their health, they can also enjoy the peace of mind of knowing they’re covered — no matter how their needs evolve.
Pay Structure
LTC insurance cost structures vary, but typically, you’ll pay high monthly or annual premiums to maintain your policy. With WellAhead, you’ll pay an upfront entry fee (which can equal as little as six months of care) and ongoing monthly membership fees.
WellAhead costs are predictable, allowing members to budget effectively. Rate increases are limited by a contractually guaranteed low percentage, and members are given plenty of advance notice when these increases occur. On the other hand, LTC insurance can surprise policyholders with sudden rate increases.
Waiting Periods
WellAhead members must be medically approved to join the program. However, if the need for care ever arises, they do not need medical approval to activate their health care benefits. On the contrary, LTC policyholders often do need medical approval, leaving them waiting 1-3 months in most cases before their coverage kicks in. During that time, members must pay for their care out of pocket.
Also, WellAhead requires no waiting period after joining the program before benefits kick in. Long-term care insurance typically does require a waiting period, leaving policyholders without coverage for a time.
Care Coverage
The care you receive also differs depending on whether you hold an LTC policy or are a WellAhead member. First, long-term care insurance does not guarantee access to health care; even if a policy covers your costs, you must still find a provider to meet your needs. On the other hand, WellAhead gives members priority access to WesleyLife’s full continuum of care.
Long-term care insurance companies can also limit the amount of care they will cover with daily caps on healthcare coverage. WellAhead does not place any daily caps on coverage, ensuring members receive all the care and support they need.
Finally, LTC insurance doesn’t provide benefits for those who don’t require long-term care, whereas WellAhead’s wellness amenities and services benefit members immediately. The benefits you receive with WellAhead far exceed those you can expect from LTC insurance.
Support Your Well-Being and Prepare for Your Future with WellAhead
With wellness-focused tools and resources and access to a comprehensive continuum of care if you need it, WellAhead is uniquely beneficial. It differs from long-term care insurance in many key ways, making the program a major improvement on the traditional LTC insurance model.
Want to learn more about WesleyLife’s approach to continuing care at home? Read The Complete Guide to WellAhead!
