Insurance–Options for Long-term care benefits
This past week I learned about a Whole Life Insurance Policy that has Long-term care benefits. The company that provides the policy is reputable so I phoned them to find out about it.
What I learned is that it is a single premium product with simple underwriting. After applying the insured receives a phone call from an Underwriter and is asked a few questions. The benefits can be used at home or Assisted Living or Skilled Nursing and there is a 90-day elimination period before the policy pays benefits. The minimum premium is $50,000.
This company also has a Universal Life Insurance Policy that the insured can add a rider to that provides Long-term care benefits. It’s a different scenario since the premium is paid over time.
Over the years I have written annuities with Long-term care benefits for clients who had health issues and would not qualify for pure Long-term Care Insurance. Annuities also require a single premium with minimal underwriting. One company has a 7-day elimination period. Far better than waiting 90-days for the insurance carrier to start paying.
The advantage to both Life Insurance and Annuities with Long-term care benefits is that whether it is used for Long-term care or not the beneficiary will receive the money not used when the insured/annuitant dies.
Call me at 818 706-3745 or email: Sandra@Insurance-California.com if you would like to discuss the possibility of obtaining quotes for yourself or a loved one.
Sandra Cherry, PFP CA Insurance License #0B45111
SandraCherryFinancialPlanner.com
CALPERS INCREASING LONG-TERM CARE INSURANCE PROGRAM RATES
Are you one of the 160,000 members of the California Public Employees Retirement System (CalPERS) who purchased into the Long-term care program?
Guess what? The CalPERS Board of Administration in their infinite wisdom is giving you an increase in premium effective mid-2010.
According to SellingLTC.com “All policies issued prior to 2005 with either lifetime benefits or inflation coverage will receive a 22% increase. All policies in this group with both lifetime benefits and inflation coverage will receive an additional annual increase of 5% per year beginning in July 2011. Any policy issued prior to 2005 with only non-lifetime benefits and all policies issued after 2005 will receive a single 15% increase.”
When the program became available years ago those of us selling Long-term Care insurance expected this would happen. CalPERS signed up everyone with no underwriting and very inexpensive premium. I don’t think people would actually use it. The increases are due to more usage than was expected.
If you would like to discuss options that might be available to you outside of CalPERS I am available by telephone at 818 706-3745 or by emailing:
Sandra@Insurance-California.com. Please give me your name, phone number and best time of day to reach you.
I am licensed by California Dept. of Insurance. My license number is 0B45111.
