I see it clearly now. Thanks.
LTCi is Primarily "income Protection", More Than "asset Protection"
- Thread starter Mr_Ed
- Start date
- 17,063
Not everyone on Medicaid has a community spouse. If they are a widow that $700,000 they were allowed to keep in your example becomes $2,000.
If they are married but both in a nursing home it becomes $4,000.
And believe it or not, many people on Medicaid didn't have a $500,000 house to start with so it actually is much much less than your example.
Lots of holes in that one.
If they are married but both in a nursing home it becomes $4,000.
And believe it or not, many people on Medicaid didn't have a $500,000 house to start with so it actually is much much less than your example.
Lots of holes in that one.
- 924
It also depends on state rules and whether the local people are enforcing the federal guidelines. I know in my state they do not have the manpower to fully enforce reimbursements from estates.
In our community property state, the "stay at home spouse" is entitled to have $85,000. The home is exempt, of course, but the state is mandated to recover against the home once the Medicaid recipient(s) are dead. Again, they do not have the manpower to really go after reimbursals.
The expense of long-term care is easy to understand, but does not sell policies. This is an extremely emotional area and that is what sells policies.
With the sandwich generation looking at having to care for mom and pop and also starting to worry about themselves, it is an opportunity to sell to two generations, sometimes with the sandwich generation paying for both.
Not a money thing. It is a "are we going to have to have mom and pop live with us?" and "Are we going to have to rely on our kids to take care of us?"
Is it going to be "Let's put mom and pop in a nursing home at the first opportunity" or is it going to be "Let's get some insurance so we can arrange quality in-home care for as long as possible and then find the very best in institutional care if that becomes necessary."
In our community property state, the "stay at home spouse" is entitled to have $85,000. The home is exempt, of course, but the state is mandated to recover against the home once the Medicaid recipient(s) are dead. Again, they do not have the manpower to really go after reimbursals.
The expense of long-term care is easy to understand, but does not sell policies. This is an extremely emotional area and that is what sells policies.
With the sandwich generation looking at having to care for mom and pop and also starting to worry about themselves, it is an opportunity to sell to two generations, sometimes with the sandwich generation paying for both.
Not a money thing. It is a "are we going to have to have mom and pop live with us?" and "Are we going to have to rely on our kids to take care of us?"
Is it going to be "Let's put mom and pop in a nursing home at the first opportunity" or is it going to be "Let's get some insurance so we can arrange quality in-home care for as long as possible and then find the very best in institutional care if that becomes necessary."
IMO the LTCi discussion really has little to do with money, it has to do with quality of life and protecting your family. Any person (usually a male) that thinks their kids are going to take care of him is an ***. Sure one of his kids might take care of him, but they will end up hating their other siblings, family members, because they are stuck doing all of the work while the other kids get to live their lives as usual. I know because this is what my wife and I are going through, plus we have two kids of our own! The other question is why on God's green earth would someone pass the opportunity to avoid a nursing home and receive care in their own bed? I ask people these questions when they think medicare is the ok way to go.
1. Have you ever been to a medicaid facility?
2. Are you aware that most homes have had major care infractions? to include basic sanitation care, bedsores, elder abuse etc?
3. Do you realize that your caregiver has little incentive to give you the proper care, being that he/she has probably 10 or more other people to care for.
4. Are you aware that an available medicaid bed might be hours from your home?
5. Do you realize that we have the perfect storm for LTC brewing? i.e here come the baby boomers,and we already have a major shortage of providers who would even consider this line of work? How do you think this is going to look in 15 yrs?
6. Do you realize that many facilities don't even want medicaid beds? Why as a business would you want medicaid patients when you could have private pay or LTCi patients that actually pay the going rate? Again and problem that will get worse because of the aging population and the fact that many more boomers have LTCi vs the generation in care now.
7. And finally my favorite one. Are you really willing to work your whole life to die on welfare?
I tell people that I have LTCi because just like the rest of my life, I am going to need care I want it on my terms.
1. Have you ever been to a medicaid facility?
2. Are you aware that most homes have had major care infractions? to include basic sanitation care, bedsores, elder abuse etc?
3. Do you realize that your caregiver has little incentive to give you the proper care, being that he/she has probably 10 or more other people to care for.
4. Are you aware that an available medicaid bed might be hours from your home?
5. Do you realize that we have the perfect storm for LTC brewing? i.e here come the baby boomers,and we already have a major shortage of providers who would even consider this line of work? How do you think this is going to look in 15 yrs?
6. Do you realize that many facilities don't even want medicaid beds? Why as a business would you want medicaid patients when you could have private pay or LTCi patients that actually pay the going rate? Again and problem that will get worse because of the aging population and the fact that many more boomers have LTCi vs the generation in care now.
7. And finally my favorite one. Are you really willing to work your whole life to die on welfare?
I tell people that I have LTCi because just like the rest of my life, I am going to need care I want it on my terms.
- 1,926
sluggo08 charpress are right on target, IMO.
That say's it perfectly!!
clearlight
New Member
- 6
Re: LTCi is Primarily "income Protection", More Than "asset Prote
Do you personally own LTC insurance? I do. My parents did, and I let somebody else make the sales (I was licensed).
I tell prospects to ask any agent (or "financial planner") if s/he owns LTC and that they should doubt alibis. Obviously, if an agent understood LTC s/he would own it, right? Not qualified? Sorry.
LTC for my mother paid nearly $200,000 across 3+ years. We didn't have to sell her house or investments in a panic to pay for her care. We could think about her instead.
My father had the same LTC and didn't live to collect. Congratulations! He'd paid to make his family's assets safe, and he was happy to do it.
Wife and I both have the same LTC coverage. Why?
Think about it. Ask the customer to think about it.
Do you personally own LTC insurance? I do. My parents did, and I let somebody else make the sales (I was licensed).
I tell prospects to ask any agent (or "financial planner") if s/he owns LTC and that they should doubt alibis. Obviously, if an agent understood LTC s/he would own it, right? Not qualified? Sorry.
LTC for my mother paid nearly $200,000 across 3+ years. We didn't have to sell her house or investments in a panic to pay for her care. We could think about her instead.
My father had the same LTC and didn't live to collect. Congratulations! He'd paid to make his family's assets safe, and he was happy to do it.
Wife and I both have the same LTC coverage. Why?
Think about it. Ask the customer to think about it.
Arthur Rudnick
Guru
- 1,652
Re: LTCi is Primarily "income Protection", More Than "asset Prote
"Do you personally own LTC insurance? I do. My parents did, and I let somebody else make the sales (I was licensed)"
Let me understand this..................
You were licensed and your parents puchased a LTC policy from someone other than you?
Do I have that right?
"Do you personally own LTC insurance? I do. My parents did, and I let somebody else make the sales (I was licensed)"
Let me understand this..................
You were licensed and your parents puchased a LTC policy from someone other than you?
Do I have that right?
clearlight
New Member
- 6
Re: LTCi is Primarily "income Protection", More Than "asset Prote
Arthur, Heard of USAA?
It's an automatic for career military officers. It brokers Hancock (which I also own).
I wanted them covered, didn't want to push, wasn't desperate, pointed them to the best possible broker...which for years handled all of their other insurance (car, home, life).
Want a nightmare? What if USAA's loosening membership standards and louder advertising addresses LTC?
I think you need to live in San Antonio on a salary to sell USAA. I'd rather work on a commission in a quite a few other places :-)
Arthur, Heard of USAA?
It's an automatic for career military officers. It brokers Hancock (which I also own).
I wanted them covered, didn't want to push, wasn't desperate, pointed them to the best possible broker...which for years handled all of their other insurance (car, home, life).
Want a nightmare? What if USAA's loosening membership standards and louder advertising addresses LTC?
I think you need to live in San Antonio on a salary to sell USAA. I'd rather work on a commission in a quite a few other places :-)
Similar threads
