Long term care insurance lets you plan for the worst, with the option to have the best. With long term care insurance you can decide where you want to receive your care – at home, in an assisted living facility, in a nursing facility, or even an adult day care.
Long term care insurance can provide protection for you and your family against the potentially high costs of the care needed, whether you need it tomorrow or many years in the future.
Traditional Long Term Care, often referred to in the past as nursing home plans, are plans we often call use it or lose it. This means that if you do not end up using your plans benefits, there is often no return of premium and the company would keep all the premiums you paid-in. Traditional Long Term Care plans are subject to rate increases if approved by the division of insurance, and also may have dollar for dollar Medicaid protection via the South Dakota Long Term Care Partnership Program.
In a life insurance policy with long term care (LTC) coverage, accelerated benefits are available when long term care is needed. This means a portion of the death benefit is paid out early in order to cover long term care costs (reducing the death benefit accordingly). If you never need LTC, then your full death benefit is available to combat the “use it or lose it” argument against traditional LTC.
Many of these products allow the addition of an extended benefit rider that increases the amount of long term care benefits, as well as inflation, to keep up with the cost of care. We have these combo products available to just one (on an individual chassis), or we can put a couple on one plan with a second-to-die death benefit.
Contact a Graber & Associates agent today to find out if you could benefit from a life and long term care insurance combo.
With an annuity and long term care combination a benefit is paid to the contract owner(s), whether it’s through income from the annuity or the long term care benefits.
This policy combination is the best for those who are not able to purchase a traditional or Life/long term care contract due to health complications.
An annuity combo product does require a one-time lump sum of funds to be deposited, and any withdrawal(s) from the plan that are not for qualified Long Term Care expenses, will affect how the plan pays out.
These contracts vary greatly among companies, so contact a Graber & Associates agent to help you determine if the annuity and long term care combo is right for you.