What is Long Term Care Insurance?

Long term Care Insurance pays for nursing home or in-home care for you when you are disabled. There are many companies offering long-term care insurance today and the State of California has a plan called the “Partnership Plan” which provides special protections for your estate if you later need Medi-Cal benefits. Planning for long-term care is a complex issue. Although many people will never need long term care others may need services provided either in their homes or in a skilled nursing facility. Some policies cover care in the home, others require you to be in a skilled nursing facility. Policies may also have different requirements before you are eligible to begin receiving benefits. For example, some policies may require that you need assistance with only 2 “ADLs” (Activities of Daily Living), while other policies may require that you need assistance with 3 or even 4 ADLs. Some premiums may be tax deductible when you purchase the insurance but you will pay taxes on the benefits. Others premiums may not be tax-deductible but the benefit may be non- taxable. In some cases the insurance company’s ability to raise your rate is limited because they have to raise the rate of the whole class of people to which you belong; in other cases the insurance company can raise your rate regardless of whether other people have their rates raised, too. Some policies provide inflation protection. Others don’t. Some require a hospital stay before you may be eligible for benefits. Others don’t. Some policies cover custodial care and others don’t. Additionally, each policy will also have a cap on the total...

Mediation – 14 Answers to Frequent Questions

1. What is mediation? Mediation is a process in which the participants design the solutions to their own dispute(s). Oftentimes parties in litigation are ordered to mediation by the judge in the hope that a settlement can be reached and a trial avoided. 2. How much does it cost? With fees as low as $200 an hour, mediators (who sometimes work in teams), mediating disputes can cost substantially less than lawsuits, where the attorney fees may be $200 – $300 per hour for each lawyer. Even if you have an attorney with you in the mediation, the costs of mediating can be significantly less than the cost of litigation. 3. Why is mediation different from litigation? In mediation the parties attack the problem, not each other. 4. What if the other party tries to force me to take an unfair compromise? Only you decide if you will accept a compromise in order to settle your dispute. No one can force you to agree to anything. If you are represented by an attorney, you and your attorney will decide whether to accept a compromise. Mediation is not a process which simply “splits the difference”. Either party may end up with more, or less, than he or she thought she would. The mediation is a form of negotiation. 5. Don’t lawyers have to be involved to solve a legal problem? No, but usually lawyers represent people in mediation. Sometimes a person chooses to represent themself and sometimes both persons represent themselves without attorneys. Of course, you may want to review any agreement with your lawyer before you sign it. 6. What...