AnnuiCare As Alternative to LTC Insurance?

[raygunn]

Has anyone worked with this product? It appears as if it could be a reasonable alternative to LTC insurance. Looking for opinions on the subject.

 

[CALTCAgent]

Has anyone worked with this product? It appears as if it could be a reasonable alternative to LTC insurance. Looking for opinions on the subject.

What are the specific situations were you planning to use it in as an "reasonable alternative" to LTC in?

If you are more specific it will be easier to offer opinions as to whether its reasonable. IMO.


Thanks.

 

[raygunn]

I have a married client who wants LTC protection, but is not eager to pay for insurance he/she may not use. They have additional monies that they want to leave for heirs and protect against risk of nursing costs. They were not thrilled with the potential return on this product but liked the 3 to 1 benefit for LTC.

 

[billberry12]

How about putting a return of premium on a stand alone LTC policy. If they don't use the policy, all the premium they paid goes to the beneificiary. That's my #1 solution. If not that, then the type product you mention, or TLC by Genworth, or Moneygaurd may be a good alternative IMO.

 

[raygunn]

Great suggestion. I will look into ROP policy before pursuing Annuicare any further. Approximately what percentage more premium will they pay for the ROP rider?

 

[CALTCAgent]

I have a married client who wants LTC protection, but is not eager to pay for insurance he/she may not use. They have additional monies that they want to leave for heirs and protect against risk of nursing costs. They were not thrilled with the potential return on this product but liked the 3 to 1 benefit for LTC.

Where is the money coming from to fund the Annuicare?

What type of return are/were they getting currently on that money?
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Great suggestion. I will look into ROP policy before pursuing Annuicare any further. Approximately what percentage more premium will they pay for the ROP rider?

It costs quite a bit more typically, most people don't like that.

 

[billberry12]

It does cost more, but a good compromise is graded return of premium, which is not that much more expensive.

 

[CALTCAgent]

It does cost more, but a good compromise is graded return of premium, which is not that much more expensive.

Lots of variables for the graded ROP.

If they want to leave money for heirs, not sure if this is the most efficient way. The clients who want everything can be tough.

 

[billberry12]

Yes. Lot's of variables for every moving part of a plan wouldn't you say?

 

[CALTCAgent]

I have a married client who wants LTC protection, but is not eager to pay for insurance he/she may not use. They have additional monies that they want to leave for heirs and protect against risk of nursing costs. They were not thrilled with the potential return on this product but liked the 3 to 1 benefit for LTC.

Wants:

1. "Good" LTC protection
2. Not pay for something might not use
3. Wants to leave additional $ for heirs
4. Wants good returns

This product does not exist. They are going to need to prioritize and compromise.