Annuity for LTC - Maybe

[bill3173]

Have a client that met with me yesterday to do a small annuity with potential for LTC withdrawals.

He originally wanted a SPLTC, but no one would take him. I suggested an annuity that offered an extended care rider, which in this case just allows for early withdrawals for ltc, and a higher than average Income benefit.

Just curious what the experts would have settled on in this case, excluding ltc annuity: he can't pass any uw for health.

He has $50K for this annuity, possibly more if necessary. He was very happy with the equitrust Market Value 12.

Penalty phases don't matter to him at all, other than the waiver for ltc and no death penalty.

 

[iceco1d]

Does it have to be fixed, or can you use variable as well?

 

[Mr_Ed]

Have a client that met with me yesterday to do a small annuity with potential for LTC withdrawals.

He originally wanted a SPLTC, but no one would take him. I suggested an annuity that offered an extended care rider, which in this case just allows for early withdrawals for ltc, and a higher than average Income benefit.

Just curious what the experts would have settled on in this case, excluding ltc annuity: he can't pass any uw for health.

He has $50K for this annuity, possibly more if necessary. He was very happy with the equitrust Market Value 12.

Penalty phases don't matter to him at all, other than the waiver for ltc and no death penalty.

What's wrong with his health?

 

[ScottLFB]

Are you looking for a LTC waiver for surrender charges or are you looking for something that pays increased payouts to assist with the LTC needs through the rider itself? Aviva has the 150% increased payout for LTC needs. Phoenix on 6/4 has a new product that will offer 250% of the Income Payout for LTC for 5yrs before reverting back to what the normal payout would have been. With either product though, these increased payouts will only add supplement income to help with these costs. You're not going to foot the LTC bill with the Payouts off a $50K annuity. That would be the same situation with the LTC/Annuity or LTC/Life Combo products.

 

[bill3173]

Are you looking for a LTC waiver for surrender charges or are you looking for something that pays increased payouts to assist with the LTC needs through the rider itself? Aviva has the 150% increased payout for LTC needs. Phoenix on 6/4 has a new product that will offer 250% of the Income Payout for LTC for 5yrs before reverting back to what the normal payout would have been. With either product though, these increased payouts will only add supplement income to help with these costs. You're not going to foot the LTC bill with the Payouts off a $50K annuity. That would be the same situation with the LTC/Annuity or LTC/Life Combo products.

Is the Aviva product issued with Ltc GI?

 

[ltcadviser]

Like Scott, I am curious what is specifically wrong with his health too. I have a hybrid option that is great leverage for LTC payout that offers unlimited LTC insurance to many applicants that traditional underwriters deem uninsurable.