Long-Term Care Insurance
Long Term Care Insurance
Do you have LTCI?
Should you have LTCI?
Why don’t people purchase LTCI?
There are really two reasons people do not buy LTCI. 1) Cost. It can be expensive. 2) Need. Many people have the “it won’t happen to me” attitude when it comes to the need for LTC expenses.
The sad truth is that the people who buy LTCI are people who have had a loved one or a friend who felt the devastating effects of LTC costs and didn’t have LTCI.
What does LTCI cover?
What Triggers LTCI Coverage To Kick In?
There are several different ways to obtain LTCI coverage. Depending on your situation, one may be better for you than another.
This is the best but also the most expensive type of LTCI. You pay an annual premium of $2,500-$10,000+ a year (depending on your age); and if you incur LTC expenses, the policy will pay up to its daily limit. Traditional LTCI is like term life insurance. If you don’t use it, you do not get the premiums back.
Single Premium Life Insurance policies that have LTC benefits—most people are not aware of the fact that they can purchase a life insurance policy that has an LTC benefit. Why would you purchase this type of policy? Because if you ever need the money you paid in premiums, it’s accessible. That’s right. If you paid a $200,000 one-time premium for a policy and needed the money in years two, three, or whenever, you could ask the insurance company for a refund of your entire premium.
Additionally, some policies grow money in the policy similar to money market/certificate of deposits. This type of policy is a good fit for an older client who has money sitting in CDs and money market accounts because they think they may need the money someday and, therefore, do not want to allocate it to buying traditional LTCI.
To view/listen to a video presentation on SPL policies, please click on the picture below.
Retirement Life™ (RL) as you can read by clicking here, growing wealth through the use of RL can be a terrific idea for many. A nice byproduct of using an RL product is that the policy comes with a FREE LTCI rider. Essentially, if you can’t perform 2 of 6 ADLs, the insurance company will give you 2% of your death benefit early (tax-free). This type of coverage is not as good as a traditional LTCI policy; but if you are buying a policy to build wealth, why not buy one with a FREE LTCI benefit?
Deducting the cost for LTCI
Most people do not know how to write off traditional LTCI premiums. While not everyone can do so, some can. If you would like to learn how to obtain a 100% deduction for LTCI premiums, please click here.
We hope that after reading this material you are sufficiently motivated to learn more about LTCI. Our firm specializes in helping clients find the right LTCI benefit at the lowest possible cost. If you would like help, please click here to email us or phone 310-417-9040 . To sign up for a free consultation or to just get more information click here.