When stepping into the role of caregiver for elderly parents, there’s a lot to consider beyond day-to-day needs. There are few things more difficult than taking care of a loved one during a medical event. As an adult child who is also a caregiver, having a plan in place beforehand is crucial to minimizing the difficulties of being a primary decision-maker in a situation that may be emotionally difficult. Here are a few steps to help ensure that when your parents need help, you’re able to advocate for their physical, emotional, and financial well-being.
Verify and Activate Their Coverage
One of the first things to do when caregiving for elderly parents is to check for Long-Term Care (LTC) insurance. Medicare Part A currently covers only the first 20 days of a person’s stay in a hospital or skilled nursing facility and includes a copay for days 21-100. Beyond 100 days, there is no coverage at all, and it doesn’t cover the cost of in-home caregiving needs. Conversely, many LTC policies cover caregiving needs in a variety of settings, including in-home, assisted living facilities, and adult homes.
Ideally, you and your parents have had a conversation ahead of time about the coverage they have, they’ve selected and communicated with a Power of Attorney (whether that’s you, a sibling, or someone else), and that person has access to all of the necessary documents regarding an LTC policy. If that’s not the case, and if your parent is in a situation where they’re not able to communicate, you may be able to see LTC premiums on their tax returns and find contact information for the insurer that way. To activate coverage, call the insurance company and request a claim form.
Check for a Healthcare Power of Attorney
If your parents can’t express their wishes due to a medical situation, you’ll want to determine whether or not they’ve identified an HCPOA as soon as possible. A Healthcare Power of Attorney designation provides an individual with the legal authority to make medical decisions on their behalf. If one has not been named, you may need to go to court and petition for guardianship or a conservatorship. This can be a lengthy and costly process, which is why we recommend having these conversations with your parents early.
Stay On Top of Financial Matters
Whether or not LTC insurance is in the picture, it’s wise to get a full understanding of your parent’s financial situation as soon as possible, especially if care may be needed for more than a short period of time. Bills need to be paid, RMDs need to be taken, and next steps in your parent’s care and housing may be impacted by their financial situation. If you have Power of Attorney, a good place to start is by contacting their financial advisor or tax preparer to get statements or documents regarding income sources, such as investment accounts, pensions, Social Security, etc., as well as health insurance. It can be a lot to think of, especially if you’re in crisis response mode, which is why we’ve created a caregiver checklist to help make sure the bases are covered.
Ask the Right People the Right Questions
If there’s ever a time to get the facts and ask as many questions as possible, it’s now. Consider bringing a notepad to meetings with medical staff, or take notes on your phone. Your parents may need you to advocate for their health needs, and it’s helpful to have all of the information in one place so you can easily refer back to it as well as refer it to other family members who are providing care. Here are some questions to ask:
- What type of ongoing care will be needed, and for how long?
- What treatments or medications are covered by insurance?
- Are there options for home service or rehabilitation?
- What are the estimated out-of-pocket costs?
As you begin to gather the facts and determine future care needs, consider talking to your parents’ financial advisor about financial considerations. Remember, it isn’t materialistic to factor in the cost of continued care. By calculating the financial impact of decisions now and moving forward, you and your parents can make decisions to help make their money last.
Don’t Be Afraid to Ask for Help
It can be easy to feel guilty delegating tasks to someone outside of the family, especially if it will cost your parents money. However, there is only so much of you to go around; caregiving needs can be hired out, but the relationship you have with your parents is irreplaceable. Hiring a professional can provide you and your parents with invaluable resources while removing potential strain from your relationship. Geriatric care managers are typically licensed medical professionals or social workers, and they can provide expert guidance on care options while coordinating services and navigating the healthcare maze. If your parents have an LTC policy, it may cover the cost of a geriatric care manager.
Navigating the New Normal
Going through a health incident with a loved one can be scary, overwhelming, and emotionally taxing, but having a plan in place ahead of time and an idea of what to expect can help everyone take it in stride. As you settle into a different season of life with your parents, there may be new challenges that come with a more active caregiving role. If that’s the case, consider reading our caregiving series to help you approach the responsibilities in a way that prioritizes your well-being as well as theirs. If there are other ways we can support you through financial considerations and resources, please reach out. We’re here to help your whole family worry less about the details so you can make the most of the time you have together.
Material provided, in part, by Kalli Collective, an independent third-party, Raymond James is not affiliated with Kalli Collective.
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