Highest Fixed Rate Annuity?

[Tahoe Ray]

Clients ages 64 (male) and 65 (female)
What carrier do you use for SPIA and UL?
Does UL have no lapse?

Kind of like these options.

The key to get case issued is overcoming his opportunity loss issue while meeting LTC concerns.

I just run the quotes and use whatever SPIA looks best (that I have acceess to) and for the SUL, whoever charges the least combined with underwriting considerations/other benefits.

The UL would be guaranteed through age 121.

 

[Justin Bilyj]

Try a mass 10 pay with the LTCR rider. Positive growth around year 10-15. Increasing benefit with dividends. It provides the best combo of LTCI and RoR

The only reason i dont like the ltc rider is that the price of it isn't guaranteed, so they could potentially pull a JH and raise the rates on it when ltc costs increase.

 

[DWPCL]

If there is one campany to not worry about raising the cost of ltc, its mass mutual.

 

[Justin Bilyj]

If there is one campany to not worry about raising the cost of ltc, its mass mutual.

Better be sure to let the client know cause I doubt this piece of advice would hold up in an E&O claim.

 

[scagnt83]

The only reason i dont like the ltc rider is that the price of it isn't guaranteed, so they could potentially pull a JH and raise the rates on it when ltc costs increase.

You are talking about a very minimal difference considering the size of the premium. On average for a 65 year old with a 4 year LTC benefit period you are talking about a $400/y difference in charges between current and guaranteed. Hardly anything to worry about since it would not effect the policy in a major way at all. It would equal on average about a 0.10% difference in CV RoR at year 15.

 

[CaseyV]

Still waiting on LTC premium quote, but I believe it will be $6000/yr for husband/wife.
Client is looking for LTC coverage, but is weighing pros and cons of using capital now vs waiting and paying via self-insuring.
Client recognizes and is planning for $81/yr for 3 years for both by year 2040.
I've shown Forecare Annuity and Mass ' s Care Choice One using $125k x 2 to have separate policies.
They are hesitant because of loss of opportunity cost via this plan.
I'm thinking maybe we can address concerns if plan preserves capital while funding LTC.

If you don't want to tie up a bunch of his money go with a State Life AssetcareIV which you can pay premium monthly if you want like traditional LTCi but, it builds cash value from day 1, can be set up for lifetime pay for lowest monthly outlay, premiums guaranteed to never increase per the contract, can be sold as a joint contract covering both lives so a good fit for couples, also the only carrier out there for lifetime (unlimited) LTC benefit claim period via additional rider. If one of them uses all of the base contract benefit the rider keeps cash flowing to them. Way better move than self insuring. If you need the contract I'm an IMO, send me an email and I can get you set up for this.

 

[jmarkk1]

Thanks for input. Thread is a bit old and client couldn't give up on self-insuring approach. What boggles my mind is the clients that I've met that have assets that need protected against a LTC event all think self-insuring is the answer. It's almost like the plan they've used to create wealth is predicated upon hating insurance. I guess I just need to keep meeting new clients.

 

[Midlevel]

What is the highest 5 or 7 year fixed annuity currently available? I have seen the Bankers Life 5 year at 2.80% so far.

 

[Tahoe Ray]

What is the highest 5 or 7 year fixed annuity currently available? I have seen the Bankers Life 5 year at 2.80% so far.

What state?

 

[Midlevel]

Iowa..................