What should I be careful of when looking for long term care insurance. I'm 70 years old.

Terry Says:

First, you want to deal with a reputable agent, who specializes in LTC insurance.  I always recommend MAGA LTC  (800-533-6242). You do not have to use my name, and I get nothing out of this — but the knowledge that my readers will be treated fairly.  Ask for Peter or Brian.

Second, you need to deal with a strong company that will be around to pay your claims!  (And that’s another reason for using a knowledgeable agent.)

Third, you need to recognize that with a “traditional” policy on which you pay a yearly premium, there is a possibility that the annual premium may rise.  In fact, there’s a very good possibility that may happen, as insurers are beginning to recognize how many people stick around and actually use those policies~!

So, you might want to consider a combination life/tc policy.  You put money into the policy like a single deposit — or over 5 years — into the policy.  If you die without using the care, your heirs get a death benefit.   But if you need care, you leverage the investment into a lot of care dollars.  (Or you can “borrow” the money out if you need it in the future).  Here’s a link to an article I wrote about that type of policy a few weeks ago.

Of course there are many more details to cover — how many dollars of care you are purchasing, inflation adjustments, limits of care, and waiting periods before the insurance kicks in.  Again, that’s why I recommend having a knowledgeable and reputable agent.

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