New Asset Based Long Term Care Plans
There are few guarantees in life. Nobody is guaranteed in health or wealth, but there are ways to plan to safeguard your wealth and help protect it if your health declines. Most retirees and those nearing retirement are concerned with attempting to meet a wide range of goals such as protecting themselves and their family in case of a costly illness, insuring they have a lifetime of income and having rainy day funds set aside for other emergencies. Asset Based Care plans are innovative plans designed to provide for all of these purposes during your lifetime. Asset Based Care plans are linked products that use either life insurance or annuities that offer riders for chronic illness or long term care coverage. These riders have a multiplying effect of 2 to 5 times the amount of the transferred money. In other words, $100,000 in a new annuity can produce from $200,000 to $500,000 in long term care benefits. We have 5 carriers with various riders that seems to answer the number one concern we hear from seniors: “Long Term Care insurance is so expensive and I am concerned about having to either use it or lose it”. Also, these new plans have been specifically designed to meet new tax law. Therefore, the benefits paid out for long term care expenses are completely income tax free, so if you have an old deferred annuity, you should take a look at these newer annuities with the new income tax benefits. Current statistics from the US Department of Health and Human Services say that 70% of those over 65 will need some form of Long Term Care, but 85 to 90% still have no coverage! Many of these new Asset Based Care plans offer indemnity pay outs, so the money is sent directly to you for any type of coverage necessary. So you don’t have to maintain receipts every month to verify your payments. For more information regarding the annuity/LTC combo policy. Please contact us!