We have been dealing with economic turmoil for close to five months. Since this fall, long term care insurance purchases slowed considerably as the public was in shock over plunging investment values.
People are now asking ” what should I be focused on? My assets are down. How can I preserve what I have?”
People are now focused on managing risk.
In our senior years, our greatest single risk is the need for care over an extended period of time. People are now moving forward again with proactive long term care planning. Long term care insurance sales are gathering momentum.
I believe that this momentum will build in 2009 and 2010.
One major long term care insurance carrier has commenced a national price increase initiative – targeting 5% compound inflation riders. For 50-60 year old, I am told that the price increases will be approximately 50% on those policies taking the 5% rider. Now is the time to lock in your 5% rider before other insurance carriers make similar price adjustments.
When one enters a Continuous Care Retirement Center or a Life Care Community, you give up your right to independently determine what care you may wish to have. At the time the community health staff and management believe that you need care, the staff will present you with a letter outlining your required care.
This outline may not be your outline!
I know this from experience. I have been dealing with this issue with my parents.
Asset Protection – this is what everyone wants. There are several ways to approach asset protection. One of the most efficient ways is through insurance – specifically, Long Term Care Insurnce. Are you sure about your future health Plan? How will you pay for your Extended Care? Are you sure about your ability to meet your future financial and family commitments? Why deal in uncertainty! LTC Insurance is the missing piece of your asset protection program.
Falling is a very common cause for long term care and death. As one moves into the elder years, balance often becomes an issue. An event occurs and the person starts to use a cane. Then a serious fall takes place and care is needed for a period of time. Wait a minute – doesn’t it make sense to use the walker before the fall! This is a heads up – to you when you are elderly and for your parents who may be in their 70s or 80s.
The challenge is that you and/or your parent will not want to use a walker because you will not want to “look elderly.”
This challenge must be overcome.
