|
Comparing Insurable Risks 1 in 88: Major fire damage to your house¹. 1 in 47: Accident destroying your car². 7 in 10: Will end up in a Nursing home. (After age 65) Getting started is as easy as ABC Why Do People Buy Long Term Care Insurance? The ABC’s Assures you independence Afford necessary care Avoid dependency on others Be sure your assets are protected. Budget for your future Better your medical care options Choose where you receive care Conserve you assets Control your own life Myth # 1 “It will never happen to me.” • In 15 years, 75% Americans aged 65 or older will require long term care. • 48% of Americans 65 years or older are expected to need skilled Nursing facility care. • 70% will use home care services. ¹Robert Dawson, “Long-Term Care Insurance: A Product for Today”, Journal of the American Society of CLU & ChFC, September. ²Ibid. ³National Nursing Home Study, AARP. Myth # 2 “My Kids Will Take Care Of Me.” • Demographics have changed. In many cases, children lives thousands of miles from their parents. • Many families require two incomes. • It would be difficult for your children to have to quit their jobs to take care of you. • It is unlikely that your children the special skills necessary to care for you. • Do you really want to burden them anyway? Studies have shown that 67% of children become clinically depressed while taking care of their parents. National Family Caregiver Association Source: HIPAA Myth # 3 “Medicare will pay.” Medicare was not intended to pay for Long Term Care…. and it doesn’t. Myth # 4 “I will transfer my money so Medicaid pays.” • Criminal Offense – Transferring assets for the purpose of qualifying for Medicaid is illegal. • Divorce – Legally dividing assets through divorce to qualify for Medicaid extremely unlikely. • Must satisfy look back period – 3 years or 5 years. • Loss of control – Gifting-“Never give anything away if there is any possibility you’ll need it anytime in the future”. • Lawsuits – Exposure to disputes when assets are held in joint tenancy. Responsibility for the acts of other family members. • Could Trigger Unexpected Taxes – Capital gain when liquidating assets to transfer to another. Myth # 5 “I will prepare later.” Don’t Delay… Everyday Day You Wait Costs You Money! 50 - $100 $760 $30,400 55 - $100 $1,060 $37,100 $6,700 60 - $100 $1,530 $45,900 $15,500 65 - $100 $2,330 $58,250 $27,850 70 - $100 $3,660 $73,200 $42,800 75 - $100 $5,540 $83,100 $52,700 Regardless of age, waiting costs money! Daily benefits amounts and premium rates shown above are for illustrative purposes only and do not reflect only one company. Example is based on simple interest cost-of-living adjustment rider, lifetime benefit period and 0-day elimination period. Myth # 6 “Insurance is a good solution, but I can’t afford it.” Regardless of age at purchase and age at claim, total premiums paid will never exceed a 6 to 10 month claim. Example: A 65 year old purchases a policy. In 10 years, the Premiums would total $18,790. The starting daily benefit of $120 would have increased to $189 and 99 days of care would equal the premium paid. *Days to recover are: Total premiums paid divided by the maximum daily benefit payable in that year after a 90 day elimination period had been satisfied. The Right Choice! Myth # 7 “I want to think it over.” Are you making the right choice? Mistake/Not a Mistake Home - Your Own Car - Your Drive Life – Your Protect Health – Your Maintain COMPLETE ASSET PROTECTION A Sound Long Term Care Term Care Plan Kris Miller, Estate Planning Expert and Safe Money Strategist, will guide you on how you can successfully prepare your retirement plan. For more information on how Kris can help you, call (951) 926-4158 or email Kris@ReadyForPREtirement.com and see her #1 Best Selling book at www.ReadyForPREtirement.com
Related Articles -
long, term, care, insurance,
| 
