Life/LTC Combo Products Are NOT Cheaper Than Stand-alone LTCi Policies

[scagnt83]

Came into my office today to write a Mass Mutual traditional policy with an annual premium of $3100; after answering the client's questions, she asked me about hybrids. Left the office with a $123,000 Lincoln application. Fact of the matter is clients love hybrids today.

Why LFG and not State Life?

 

[ltcadviser]

my net amount at risk, with my LTCi policy is zero.
if I need LTC, none of my assets are at risk, EXCEPT for whatever expense I incur during the elimination period and whatever expenses exceed my monthly benefit.

she has $123K at risk PLUS whatever expenses exceed her monthly benefit.

Nothing at risk????? You are using that Coolie Math again... Or I should say Meth. LOL.

$6000 a year premium, non-guaranteed, might increase--and maybe 30 years of premium payments...might spend $200,000 and get nothing back....

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Why LFG and not State Life?

MG has inflation protection built into entire contract.
Looks much better than AC for 58 year old single applicant.
Especially Basic model with 80% ROP.

 

[Mr_Ed]

Nothing at risk????? You are using that Coolie Math again... Or I should say Meth. LOL.

$6000 a year premium, non-guaranteed, might increase--and maybe 30 years of premium payments...might spend $200,000 and get nothing back....

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MG has inflation protection built into entire contract.
Looks much better than AC for 58 year old single applicant.
Especially Basic model with 80% ROP.

The opportunity cost on the $123K is darn close to $6K per year.
And she will lose the $123K if she needs care.

Lastly, the MM policy would not be $6K per year, if you bumped up the db a little bit and dropped the 5% c to 3% c.

 

[ltcadviser]

The opportunity cost on the $123K is darn close to $6K per year.
And she will lose the $123K if she needs care.

Lastly, the MM policy would not be $6K per year, if you bumped up the db a little bit and dropped the 5% c to 3% c.

Mass Mutual was $5912.52 annually. Lincoln Moneyguard was $123,469.
I can definitely see why someone would stroke a $123,469 check and get on with life.

Speaking of stroking $123000 checks, off topic--- any thoughts as to Mercedes S Class or BMW 7 Series? The new 7 looks nice. I am going back and forth. Need to decide.

 

[scagnt83]

Mass Mutual was $5912.52 annually. Lincoln Moneyguard was $123,469.
I can definitely see why someone would stroke a $123,469 check and get on with life.

Speaking of stroking $123000 checks, off topic--- any thoughts as to Mercedes S Class or BMW 7 Series? The new 7 looks nice. I am going back and forth. Need to decide.

Is that a serious question? Mercedes all the way at that level. Stop being cheap and spring for the AMG.

I drove a 1983 S-Class diesel for 2 weeks over the summer while my car was in the shop. That car had a better ride to it than most new cars out there being sold. The S series is a damn fine car, especially the new models.

 

[ltcadviser]

Is that a serious question? Mercedes all the way at that level. Stop being cheap and spring for the AMG.

I drove a 1983 S-Class diesel for 2 weeks over the summer while my car was in the shop. That car had a better ride to it than most new cars out there being sold. The S series is a damn fine car, especially the new models.

Yes, very serious. I agree at this level it is hard to not look at S. I like the new 7 alot though. AMG? Hmmmmm

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Tyler, test drove both today for hours. You are right. Not even close!

 

[scagnt83]

Yes, very serious. I agree at this level it is hard to not look at S. I like the new 7 alot though. AMG? Hmmmmm

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Tyler, test drove both today for hours. You are right. Not even close!

Good to hear! Nothing drives like a S Class. If you are paying over $100k for a new car, imo, you want it to be fast and you want it to be extremely comfortable. The AMGs are faster than most any other car on the road... and you will feel like you are riding on a cloud while doing it.

You already messed up not listening to my advice on restaurants. Not listening to me on cars is a much more expensive mistake than a run of the mill fancy dinner

 

[ltcadviser]

Good to hear! Nothing drives like a S Class. If you are paying over $100k for a new car, imo, you want it to be fast and you want it to be extremely comfortable. The AMGs are faster than most any other car on the road... and you will feel like you are riding on a cloud while doing it.

You already messed up not listing to my advice on restaurants. Not listening to me on cars is a much more expensive mistake than a run of the mill fancy dinner

Soby's was ok. And it was peaceful for me to complete my SC CE annuity training on my iPhone! Thought about hitting Greenville tonight for Clemson Pitt game. We need
to get a brewski.

 

[scagnt83]

Soby's was ok. And it was peaceful for me to complete my SC CE annuity training on my iPhone! Thought about hitting Greenville tonight for Clemson Pitt game. We need
to get a brewski.

Yes we do. Plenty of good places downtown to do that. I actually might be in Atl in the next week or two. If I can get it confirmed with the client I will let you know. You can let me test drive your new S63 AMG

 

[ltci4sure]

You can let me test drive your new S63 AMG

And that is how we roll.... from insults to S63 AMGs - in the whopping 3.9sec.