LTC

[TonyC]

Can someone give me an idea on how much a LTC policy would be for a senior, female, age 77 in good health?

My aunt was asking me...and I don't do LTC.

thanks in advance....

PS. We are both located in Florida.

 

[Mr. Bill]

Re: LTC.....?

You need more details, as there are many moving parts in a LTC policy. One important piece - does she want to "rent" a policy, or "own" one, and what kind of liquid cash (including cds) does she have?

 

[Charpress]

Re: LTC.....?

Allianz 3 year policy, 90 day elimination, $120/day, 100% in-home care, rated standard is about $4,600 per day.

You can find cheaper but this is going to be typical. If you could get her preferred, it would be more like $3,800.
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Allianz 3 year policy, 90 day elimination, $120/day, 100% in-home care, rated standard is about $4,600.

You can find cheaper but this is going to be typical. If you could get her preferred, it would be more like $3,800.

 

[retread]

Re: LTC.....?

Can someone give me an idea on how much a LTC policy would be for a senior, female, age 77 in good health?

My aunt was asking me...and I don't do LTC.

thanks in advance....

PS. We are both located in Florida.

Keep in mind that LTC shares some features inherent in Term Life: If you don't use it, you lose it. There are other means to provide for long term health needs than LTC insurance. Also, LTCi is expensive, especially for a 77 year old.

 

[Charpress]

Re: LTC.....?

I've been paying liability insurance on my car and have not gotten any payout yet. Money down the drain, I guess.

Sure LTCI is expensive. Any planning not done timely is expensive. But if she can get a $3,800 per year policy, her payout will be something like $130,000 assuming she is in care for 3 years.

Considering the latest statistics show a 70% chance she will need long-term care, I don't really know what there is to think about.

Maybe life insurance to pay back her estate? Maybe some Medicaid planning?

 

[retread]

Re: LTC.....?

I've been paying liability insurance on my car and have not gotten any payout yet. Money down the drain, I guess.

Sure LTCI is expensive. Any planning not done timely is expensive. But if she can get a $3,800 per year policy, her payout will be something like $130,000 assuming she is in care for 3 years.

Considering the latest statistics show a 70% chance she will need long-term care, I don't really know what there is to think about.

Maybe life insurance to pay back her estate? Maybe some Medicaid planning?

Perhaps the analogy would be more like paying comprehensive on an old car...

Anyway, I am not saying LTCi is never a good idea, but often is oversold. If the client is a healthy 77 year old, I would expect she would live another 10 years. At $3800/yr for LTCi, that's $38,000. She would be better off with a WL policy w/ LTC rider. If she doesn't use the LTC provision, then her beneficiary would get something for it at least. Otherwise, with an LTCi policy, the money goes to the LTC carrier.

In my view, a middle-aged breadwinner needs long term disability. Near retirement, a state-partnered LTC may be a good way to protect assets. No assets, no LTC... go Medicaid. Old age... use the remaining assets, that's what they are for.

YMMV

 

[Charpress]

Re: LTC ?

Can't really disagree with any of that.

It usually boils down to what assets she has at risk, what income she has to afford LTCI, whether Medicaid planning is the better route, and so on.

I think that was the point of the original question: "How much." For a lot of people, the answer to that question rules out LTCI right off the bat.