Ask Terry Questions Long Term Care Insurance

Long Term Care Insurance

By Terry Savage on June 24, 2020 | Insurance & Annuities

Your column in the 6/22 Morning Call in your example for the 60 year old single woman how did you get from a $100,000 deposit, $4000/mo x 6yrs =$78,000, to a total initial pool of benefits (?) of just over $318,000?
Thank you

Terry Says

The insurance company calculates that amount — and it is the base on which future inflation adjustments (if any are purchased) are based. What you are looking at in the monthly benefits is the “initial” benefit –if you needed care starting very soon. But that monthly amount would grow along with the inflation adjustment.



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