Long-Term care situations are becoming more prominent especially with maturing Americans living longer with more vital lives. How will they afford the growing cost of healthcare?
While various forms of insurance typically cover routine doctor visits and emergency medical situations sufficiently, coverage for ongoing long-term healthcare needs is often limited and restricted. And, paying for long-term care needs can quickly deplete even substantial savings.
Long-term care: Not just for the elderly
This year, about 9 million Americans over the age 65 will need some form of long-term care, and that number will reach 12 million by 2020. Typically, the majority of people who require long-term care are over the age of 65. But a substantial 40 percent of those requiring long-term care are between the ages of 18 and 64.
Consequently, everyone should have reasonable provisions for healthcare financing in place.
Long-term care covers a range of services and supports, both medical and personal, to help individuals over an extended time with a chronic illness or disability (including cognitive impairments such as memory loss, confusion, or disorientation).
The bulk of long-term care involves non-skilled personal assistance with performing “activities of daily living” (ADLs), such as bathing, dressing, toileting, getting around the house, and eating.
Another category of assistance, “instrumental activities of daily living” (IADLs) includes preparing meals, shopping, bill paying and managing money, cleaning and other household chores, using the telephone or computer, and taking medication. Much of long-term care can be provided in your own home. You can have help come to you for the assistance you need and still be living in the comfort of your own home.
According to the U.S. Census Bureau, the chances of needing long-term care are higher for women:
However, one in five will need this care for more than five years. Long-term care needs often develop gradually and may include: home care from nurses, aides, therapists; community-based services; and care in a variety of long-term facilities.
Assistance from family, friends, and community
Perhaps the most important aspect of what you will want from long-term care is the ability to continue an active lifestyle with the greatest degree of independence as possible. While paid services can be extensive and partly or wholly covered by your insurance, most people also rely on help from family, friends, and community.
Case managers, typically nurses or social workers, can assist you and your family in designing a practical regimen for long-term care needs.
The trend today is to help older people stay within the community, preferably living at home (or in a family member’s home). Many communities offer adult day service programs, volunteer visitor/companion services, meal programs, transportation services, senior centers, and respite care—to give family members necessary relief to avoid caregiver “burn-out.”
Home care may also include emergency response systems, and great advances in technology can now help family members monitor an older person’s daily regimen while preserving a high degree of independence.
Assisted living housing, nursing homes, hospice programs
Generally, there is a movement away from broad-based reliance on nursing homes if possible. This may include adult foster care homes, which provide room and board, 24-hour availability, help managing medications, and assistance with ADLs.
Unlike skilled nursing homes, which are highly regulated and licensed by state governments, adult foster care homes and their licensing requirements vary greatly from state to state.
Assisted living facilities help people who need some level of care but not as much as they would receive at a nursing home. Residents often have their own apartments or rooms, but also receive support services—daily meals, assistance with personal care, help with medications, housekeeping and laundry, 24-hour security, on-site staff for emergencies, and social programs.
Costs vary widely, and the requirements of these regulated facilities vary from state to state.
Families often turn to nursing homes for round-the-clock care when it is no longer possible to care safely or cost-effectively for a person at home. The majority of nursing home stays are for less than a year, with 30 percent being less than three months. However, 20 percent of nursing home stays are for more than five years.
Hospice programs, generally, help patients and families cope with terminal illness. Many patients are reluctant to use these programs because they are required to forgo advanced medical treatments in order to qualify.
However, some hospices and private health insurers now allow more extensive medical treatment. The combination of services has already shown encouraging, life-prolonging results.
Long-term care insurance
The costs for prolonged long-term care can be high. Frequently, Medicaid covers long-term nursing home residents; but you usually have to “spend down” your available assets (generally to $2,000) before you are eligible. Long-term care insurance can protect you financially in worst-case scenarios, and help you avoid the depletion of your estate.
However, insurance for those worst-case scenarios is expensive, and only a small number of policyholders need that much coverage. You may prefer a more modest policy that will cushion part of the financial drain.
These insurance policies typically cost less for younger people. Also, the older you are, the greater the likelihood that you will be denied coverage. Another consideration you should investigate before buying a policy is the rating and stability of the insurance company: will they be around in 20 or 30 years when you need the coverage? While there is no guarantee, you may want to consider a carrier rated highly by Standard & Poor’s, A.M Best or Weiss Ratings.
Healthcare, especially long-term healthcare costs, should be an integral part of your financial plan. What insurance coverage you want, what lifestyle independence levels makes sense, whom you can rely on to help, and what you can afford—all these pieces need to be fitted together into your broader-based investment, retirement and estate planning needs.
The wisest solution is to consult your trusted advisors to help you structure a comprehensive strategy for your longevity. Ask Mr Long Term Care is a Long-Term Care specialist. He is well informed on the changes in plans as well as government changes. The industry is changing and you need an expert to help see if this is something that fits well in your own financial plan.
Dane A. Petchul CLTC, LTCP is a specialist in Long-Term care planning and Long-Term Care insurance. He can be reached at 949-854-3001 or 1-877-GO-4-LTCi or send an email to dane@LongTermCareInsurancePros.com
Visit LongTermCareInsurancePros On this site you can ask a question, get a quote or join a free teleseminar to get all of your questions answered.
Saturday, August 25, 2007
Monday, August 20, 2007
Taking Care of the Caregiver
The role of a caregiver can be extremely rewarding and fulfilling. However, caring for a loved one with serious health issues can be a full-time job – a long-term commitment that many caregivers find themselves thrown into unexpectedly.
Caregivers may find themselves unprepared for the demands that will be made on them emotionally, physically, financially and socially. All too often a caregiver’s own health and emotional needs take a back seat to the needs of the loved one they are caring for – leading to feelings of being overwhelmed, stressed and burned out. These signs are potential indicators that a caregiver is approaching burnout:
Caregivers may find themselves unprepared for the demands that will be made on them emotionally, physically, financially and socially. All too often a caregiver’s own health and emotional needs take a back seat to the needs of the loved one they are caring for – leading to feelings of being overwhelmed, stressed and burned out. These signs are potential indicators that a caregiver is approaching burnout:
aDenial about the situation and its effect on the care recipient.
aAnger at the care recipient or others;that there is no cure; that others don't understand.
a Social withdrawal from family and friends and pleasurable activities.
aAnxiety about facing another day; about facing the future.
aDepression that affects the ability to cope and begins to break the spirit.
aExhaustion that makes it nearly impossible to complete daily tasks.
aSleeplessness brought on by a never-ending list of concerns.
aIrritability that triggers negative responses and moodiness.
aLack of concentration that make it difficult to perform familiar task.
aHealth problems that take a toll mentally and physically.
Here are some tips to prevent stress and burnout:
aCall upon others for support and help.
aSet realistic goals for yourself.
Don’t feel guilty if you can’t do everything on your own. Respite care is a good way to get a break from constant caregiving. Use professional respite care services or ask a friend or family member to fill in for you.
Care for yourself as a priority! Eat a healthy diet, try to get enough sleep and find time to exercise. Regular exercise helps reduce stress. See your doctor about symptoms of illness or depression. Get counseling if needed.
Social activities help you feel connected. Stay in touch with friends.
Find resources in the community to help make your job easier, such as adult day services, home health care, homemaking/chore services, meals and transportation.
Find a support group for caregivers. Support groups can offer valuable advice and help you to understand that what you are feeling is normal.
Visit LongTermCareInsurancePros
Just call 949-854-3001 or 866-GO-4-LTCi to get your questions answered immediately
Tuesday, August 14, 2007
Are you or do you know a Young Grandparent? 60 is the new 40...
In 1978, when National Grandparents Day was proclaimed, today's grandparents were quite young and very few of those thirty and forty somethings were planning for Long-Term care insurance. They were just too young!
Today we are all living longer, 60 is really 40; 80 is 60; 63 year-olds are having babies and their retirement and LTC insurance needs are much different.
When shopping for LTC the three benefit choices are, skilled care, intermediate care and custodial care. look for policies that pay for all three categories including care by non- professionals, such as family members or friends in your home.
Do not shop price alone because the cheap no-name company you don't recognize today won't be around to service your needs when you are older and need the benefits most.
As a Long-Term Care insurance specialist, I suggest...
>>>Pick a company that is tough on underwriting so you can be placed in a risk pool with people as healthy as you.
>>>Don't pay extra for caregiver training, ambulance rides, home modification or respite care.
>>>Look for strong benefits for home care, assisted living and residential care facilities.
>>>If affordability is an issue, buy a policy with a lower lifetime maximum. It is better to have all your claims paid at 100% when you really need the care, than make a little payment forever that never improves your health or your lifestyle.
We cannot predict the future, but we could eventually need some kind of long-term care. The cost of receiving these services can jeopardize not only our lifestyles and our families lifestyles but also the financial security we’ve spent our lifetime establishing.
Simplify your knowledge of Long-Term care with LongTermCareInsurancePros.
Long-Term Care insurance is What we Do!
Visit http://www.LongTermCareInsurancePros.com/ for additional information or for a free no hassle or obligation quote
Click here
Thursday, August 9, 2007
Prepare for the Unthinkable: Long-Term Care
If it can happen to Superman, it can happen to you. More than 12 million Americans need long-term care, and almost 5 million of those are working-age adults.
Here's how to prepare for the worst.
I'll bet you're not considering the prospect that you might need nursing home or skilled home health care. But the unthinkable can happen. Just ask Superman -- actor Christopher Reeve. Reeve was paralyzed in a 1995 horse-riding accident, joined millions of Americans who require nursing care at home or who now reside in nursing facilities.
You insure your home against fire and your car against an accident -- and never complain if that money is wasted. Why not insure against one of the most expensive realities of life -- long-term care? As our lives lengthen and new treatments are developed, you -- or your parents -- are more likely to require some type of care with your advancing years.
With a little planning, you can buy long-term care insurance -- either for yourself, or as an annual gift for your now-healthy parents. Without a long-term care plan in place, you may become one of the 7 million Americans who, according to the National Council on the Aging, now provide or manage care for a friend or relative aged 55 or older and not living with them.
Long-term care insurance is a product that catches the attention of seniors, but the ideal time to buy it is actually when you're in your early 50s and in good health. At that point, premium costs are lower, and you're less likely to have a pre-existing condition that disqualifies you. But a society that values a youthful appearance seems unwilling to recognize these expensive facts of life.
The costs of long-term care are staggering today and should soar higher in the coming years when baby boomers retire. Even the GenXers won't escape the impact. Your parents will either spend your inheritance on nursing home care, or you may find yourself taking care of your elderly parents out of your own retirement funds.
The average annual cost of a private nursing home is now about $74,000, or $200 per day. Those costs can add up quickly, and Medicare does NOT cover them -- except for a few days in a skilled nursing facility after a hospital stay.
And no Medicare supplement policy covers custodial nursing care. Yes, state Medicaid programs cover nursing care for the indigent -- but that means almost all assets and income must be spent down before the state will pick up the tab.
Medicaid spend-down planning has received attention as a way to deal with the nursing-care costs. Financial advisers counsel seniors to transfer assets to younger family members -- a process that must be completed at least three to five years before asking Medicaid to pay nursing home costs. But these state nursing home programs for the impoverished do not cover home-health-care costs. So, with Medicaid the only option is to be in a nursing home.
Isn't it everyone's goal to stay at home as long as possible where you are most comfortable.
Long-term care insurance can solve the problem in most cases. The latest generation of policies pays for "home care" at a senior daycare facility, as well as care in a skilled or custodial nursing facility. A portion of premiums may be tax-deductible, depending on your age and income. But not all policies are alike, the business is growing. Coverages are constantly evolving, so study both the product and the pricing. It is important to get to design a plan with a Long-Term care specialist, one that keeps up with the changing marketplace.
Nuts and bolts
If you're thinking about buying long-term care insurance, here's what you should know before you buy.
The cost of a long-term care policy depends primarily on three basic factors: your current age, your current state of health, and the location of your residence. Unless you move, you can't control any of these. But you can control such questions as the amount and length of coverage, the elimination period (deductible), and whether you've chosen an inflation rider.
Buying early pays. A healthy 50-year-old could purchase more than adequate coverage for $1,365 a year. For a 73-year-old, the same policy might cost $6,300 a year. This four-year coverage would include a 90-day deductible or elimination period, $200 per day in coverage (for home health care or nursing home care), and a simple inflation rider -- all on a policy from a top-rated company. Premiums double approximately every 5 years.
Good health now pays off later. Once you've locked in an annual premium, it can't be raised if your health changes. But insurance companies can ask state regulators to raise premiums for an entire age group, depending on claims experience. Unfortunately, many companies have raised premiums in recent years, once they realized they under priced their policies.
While some insurers require a medical examination, most just ask for a medical reference. However, any false claims could result in future denial of coverage.
Where you live affects costs. That's because nursing costs typically are higher in major metropolitan areas than in smaller communities.
Length of coverage: The average stay in a nursing facility is 2.5 years, so some people opt to limit coverage length to cut costs. But if you're purchasing a policy in your mid-50s, you'll find that lifetime coverage is not much more expensive.
Elimination period: This is like a deductible and works like one. You agree to pay for the first 60 days or 90 days of needed care; then the policy kicks in. Having a 90-day deductible can cut premium costs substantially.
Inflation rider: Even a 3% inflation rate can cut the value of your dollar in half in 25 years. Plus, assume health-care costs will rise more than the general inflation rate as boomers age. So it may pay to buy an inflation rider. All tax-qualified policies today (see below) must offer this coverage as an option.
Other issues
Benefit payments and triggers: A qualified physician must certify to the insurance company that you need the benefits -- and those benefits will be paid only to qualified caregivers.
Most policies require the inability to perform at least two activities of daily living to trigger the benefits. The activities include being able to dress yourself, bathe yourself, move from a bed to a chair, use toilet facilities or eat unassisted. Policies will also pay out if you can't pass certain mental function tests. (Look for a policy that specifically includes coverage for mental or cognitive impairment.) Most policies no longer require a hospitalization before benefits start, but check the wording anyway.
Insurance companies may pay benefits using one of two methods:
Expense-incurred benefits: These are paid either to you or to your provider up to the limits in your policy.
A daily benefit or indemnity: This will be paid directly to you. But be sure your policy offers a pool of benefits on a daily or weekly basis allowing you to pay for covered services as needed, as well as nursing home care.
Tax-deductibility: You may be able to deduct part of your annual premium as part of a medical deduction. But remember, you can only deduct medical expenses that exceed 7.5% of adjusted gross income. The size of a deduction depends on age. People over age 61 can deduct $2,510 (assuming they meet the 7.5% threshold). Almost all policies sold before Jan. 1, 1997 were grandfathered and are considered qualified. Benefits paid by a qualified policy aren't generally considered taxable income -- even if your employer paid the premiums. .
Where to look for more information:
An independent agent, one who is a Long-term care insurance specialist is the best place to go to get a long-term care insurance plan that is designed for your own specific needs, lifestyle and affordability. You can visit LongTermCareInsurancePros for more information, you can down download a free e-book "Solving the Long-Term care Puzzle"
Make sure you've purchased from a company with a strong financial base, and a 10-year history with this insurance, so it will price policies properly and be there when you need it. A number of companies jumped into long-term care insurance without adequate data on which to base prices.
Alternative coverage:
A number of companies are marketing a combination of life insurance and long-term care coverage that lets you withdraw some of the death benefits (not the cash value) to give guaranteed long-term care coverage. Golden Rule Insurances Asset-Care plan requires a single premium, one-time deposit of cash into a policy. The company will either guarantee a minimum rate of interest or offer a variable choice of investments inside the life policy. It provides at least 50 months of long-term care benefits. You can buy extended coverage. The downsides of the policy: it's expensive, and some people don't have the cash to make the upfront deposit.
The need for long-term care can occur at any time of life. Of the 12 million Americans who need long-term care, nearly 5 million are working age adults. If something happened to you -- or your parents -- how would you cover the cost? Don't say you'd just leave it to the government. Instead, take a minute to stop by a nearby nursing home. You would certainly bring some cheer to the patients there. And you'll gain new respect for those who provide care. And, I hope, you'll be inspired to do some planning now, before the need arises.
After all, that's what insurance is all about.
For a free, no obligation, no pressure quote, call 866-GO-4-LTCi (866-464-5824)
or 949-854-3001 or visit http://www.LongTermCareInsurancePros.com/
Here's how to prepare for the worst.
I'll bet you're not considering the prospect that you might need nursing home or skilled home health care. But the unthinkable can happen. Just ask Superman -- actor Christopher Reeve. Reeve was paralyzed in a 1995 horse-riding accident, joined millions of Americans who require nursing care at home or who now reside in nursing facilities.
You insure your home against fire and your car against an accident -- and never complain if that money is wasted. Why not insure against one of the most expensive realities of life -- long-term care? As our lives lengthen and new treatments are developed, you -- or your parents -- are more likely to require some type of care with your advancing years.
With a little planning, you can buy long-term care insurance -- either for yourself, or as an annual gift for your now-healthy parents. Without a long-term care plan in place, you may become one of the 7 million Americans who, according to the National Council on the Aging, now provide or manage care for a friend or relative aged 55 or older and not living with them.
Long-term care insurance is a product that catches the attention of seniors, but the ideal time to buy it is actually when you're in your early 50s and in good health. At that point, premium costs are lower, and you're less likely to have a pre-existing condition that disqualifies you. But a society that values a youthful appearance seems unwilling to recognize these expensive facts of life.
The costs of long-term care are staggering today and should soar higher in the coming years when baby boomers retire. Even the GenXers won't escape the impact. Your parents will either spend your inheritance on nursing home care, or you may find yourself taking care of your elderly parents out of your own retirement funds.
The average annual cost of a private nursing home is now about $74,000, or $200 per day. Those costs can add up quickly, and Medicare does NOT cover them -- except for a few days in a skilled nursing facility after a hospital stay.
And no Medicare supplement policy covers custodial nursing care. Yes, state Medicaid programs cover nursing care for the indigent -- but that means almost all assets and income must be spent down before the state will pick up the tab.
Medicaid spend-down planning has received attention as a way to deal with the nursing-care costs. Financial advisers counsel seniors to transfer assets to younger family members -- a process that must be completed at least three to five years before asking Medicaid to pay nursing home costs. But these state nursing home programs for the impoverished do not cover home-health-care costs. So, with Medicaid the only option is to be in a nursing home.
Isn't it everyone's goal to stay at home as long as possible where you are most comfortable.
Long-term care insurance can solve the problem in most cases. The latest generation of policies pays for "home care" at a senior daycare facility, as well as care in a skilled or custodial nursing facility. A portion of premiums may be tax-deductible, depending on your age and income. But not all policies are alike, the business is growing. Coverages are constantly evolving, so study both the product and the pricing. It is important to get to design a plan with a Long-Term care specialist, one that keeps up with the changing marketplace.
Nuts and bolts
If you're thinking about buying long-term care insurance, here's what you should know before you buy.
The cost of a long-term care policy depends primarily on three basic factors: your current age, your current state of health, and the location of your residence. Unless you move, you can't control any of these. But you can control such questions as the amount and length of coverage, the elimination period (deductible), and whether you've chosen an inflation rider.
Buying early pays. A healthy 50-year-old could purchase more than adequate coverage for $1,365 a year. For a 73-year-old, the same policy might cost $6,300 a year. This four-year coverage would include a 90-day deductible or elimination period, $200 per day in coverage (for home health care or nursing home care), and a simple inflation rider -- all on a policy from a top-rated company. Premiums double approximately every 5 years.
Good health now pays off later. Once you've locked in an annual premium, it can't be raised if your health changes. But insurance companies can ask state regulators to raise premiums for an entire age group, depending on claims experience. Unfortunately, many companies have raised premiums in recent years, once they realized they under priced their policies.
While some insurers require a medical examination, most just ask for a medical reference. However, any false claims could result in future denial of coverage.
Where you live affects costs. That's because nursing costs typically are higher in major metropolitan areas than in smaller communities.
Length of coverage: The average stay in a nursing facility is 2.5 years, so some people opt to limit coverage length to cut costs. But if you're purchasing a policy in your mid-50s, you'll find that lifetime coverage is not much more expensive.
Elimination period: This is like a deductible and works like one. You agree to pay for the first 60 days or 90 days of needed care; then the policy kicks in. Having a 90-day deductible can cut premium costs substantially.
Inflation rider: Even a 3% inflation rate can cut the value of your dollar in half in 25 years. Plus, assume health-care costs will rise more than the general inflation rate as boomers age. So it may pay to buy an inflation rider. All tax-qualified policies today (see below) must offer this coverage as an option.
Other issues
Benefit payments and triggers: A qualified physician must certify to the insurance company that you need the benefits -- and those benefits will be paid only to qualified caregivers.
Most policies require the inability to perform at least two activities of daily living to trigger the benefits. The activities include being able to dress yourself, bathe yourself, move from a bed to a chair, use toilet facilities or eat unassisted. Policies will also pay out if you can't pass certain mental function tests. (Look for a policy that specifically includes coverage for mental or cognitive impairment.) Most policies no longer require a hospitalization before benefits start, but check the wording anyway.
Insurance companies may pay benefits using one of two methods:
Expense-incurred benefits: These are paid either to you or to your provider up to the limits in your policy.
A daily benefit or indemnity: This will be paid directly to you. But be sure your policy offers a pool of benefits on a daily or weekly basis allowing you to pay for covered services as needed, as well as nursing home care.
Tax-deductibility: You may be able to deduct part of your annual premium as part of a medical deduction. But remember, you can only deduct medical expenses that exceed 7.5% of adjusted gross income. The size of a deduction depends on age. People over age 61 can deduct $2,510 (assuming they meet the 7.5% threshold). Almost all policies sold before Jan. 1, 1997 were grandfathered and are considered qualified. Benefits paid by a qualified policy aren't generally considered taxable income -- even if your employer paid the premiums. .
Where to look for more information:
An independent agent, one who is a Long-term care insurance specialist is the best place to go to get a long-term care insurance plan that is designed for your own specific needs, lifestyle and affordability. You can visit LongTermCareInsurancePros for more information, you can down download a free e-book "Solving the Long-Term care Puzzle"
Make sure you've purchased from a company with a strong financial base, and a 10-year history with this insurance, so it will price policies properly and be there when you need it. A number of companies jumped into long-term care insurance without adequate data on which to base prices.
Alternative coverage:
A number of companies are marketing a combination of life insurance and long-term care coverage that lets you withdraw some of the death benefits (not the cash value) to give guaranteed long-term care coverage. Golden Rule Insurances Asset-Care plan requires a single premium, one-time deposit of cash into a policy. The company will either guarantee a minimum rate of interest or offer a variable choice of investments inside the life policy. It provides at least 50 months of long-term care benefits. You can buy extended coverage. The downsides of the policy: it's expensive, and some people don't have the cash to make the upfront deposit.
The need for long-term care can occur at any time of life. Of the 12 million Americans who need long-term care, nearly 5 million are working age adults. If something happened to you -- or your parents -- how would you cover the cost? Don't say you'd just leave it to the government. Instead, take a minute to stop by a nearby nursing home. You would certainly bring some cheer to the patients there. And you'll gain new respect for those who provide care. And, I hope, you'll be inspired to do some planning now, before the need arises.
After all, that's what insurance is all about.
For a free, no obligation, no pressure quote, call 866-GO-4-LTCi (866-464-5824)
or 949-854-3001 or visit http://www.LongTermCareInsurancePros.com/
Monday, August 6, 2007
Long-Term Care Insurance Company Update
John Hancock Life Insurance Company has introduced a new guaranteed increase option (GIO) to its Leading Edge long term care insurance policy. This innovative option provides clients who have automatic inflation coverage the opportunity every three years to increase their current policy benefit amount by 10 percent without underwriting. The option remains available, regardless of how many times a client declines the offer.
"Leading Edge was designed to fit in with the lives of younger, Baby Boomer buyers," said Laura Moore, senior vice president, John Hancock Long Term Care Insurance. "The new GIO option is valuable to them because, later in their lives when they no longer are worrying about the mortgage, college for their kids and helping to care for their parents, they can increase their coverage for any reason," said Moore. "We see this being particularly helpful if policyholders decide to retire to an area where the cost of care is higher than originally anticipated."
The GIO option will be available to existing as well as future Leading Edge policyholders. There is no cost to the benefit unless an increase is elected. If the benefit amount is increased, the policyholder's premium for the increase will be based on current age, original risk category and premium rates in effect on the option date. "While our clients may never choose to exercise the option, they and their advisors can rest assured knowing they will have it available to them every three years," said Moore.
Leading Edge was created with Baby Boomers, who often have competing financial priorities and limited budgets, in mind. Traditionally, inflation protection and longer benefit periods such as "lifetime" coverage were two of the biggest contributors toward higher costs. In Leading Edge, Hancock has simplified and reduced the cost of inflation coverage - with built-in, compound inflation protection linked to the Consumer Price Index (CPI). Every year on the policy anniversary, a policy owner's benefit and total pool of money is automatically adjusted according to the CPI, which has a strong association with housing and labor costs, two of the key drivers of long term care costs today and in the future.
For immediate answers to your questions or for a quote,
Just call 1-866 GO-4-LTCi (464-5824) or Visit our website at http://www.longtermcareinsurancepros.com/
"Leading Edge was designed to fit in with the lives of younger, Baby Boomer buyers," said Laura Moore, senior vice president, John Hancock Long Term Care Insurance. "The new GIO option is valuable to them because, later in their lives when they no longer are worrying about the mortgage, college for their kids and helping to care for their parents, they can increase their coverage for any reason," said Moore. "We see this being particularly helpful if policyholders decide to retire to an area where the cost of care is higher than originally anticipated."
The GIO option will be available to existing as well as future Leading Edge policyholders. There is no cost to the benefit unless an increase is elected. If the benefit amount is increased, the policyholder's premium for the increase will be based on current age, original risk category and premium rates in effect on the option date. "While our clients may never choose to exercise the option, they and their advisors can rest assured knowing they will have it available to them every three years," said Moore.
Leading Edge was created with Baby Boomers, who often have competing financial priorities and limited budgets, in mind. Traditionally, inflation protection and longer benefit periods such as "lifetime" coverage were two of the biggest contributors toward higher costs. In Leading Edge, Hancock has simplified and reduced the cost of inflation coverage - with built-in, compound inflation protection linked to the Consumer Price Index (CPI). Every year on the policy anniversary, a policy owner's benefit and total pool of money is automatically adjusted according to the CPI, which has a strong association with housing and labor costs, two of the key drivers of long term care costs today and in the future.
For immediate answers to your questions or for a quote,
Just call 1-866 GO-4-LTCi (464-5824) or Visit our website at http://www.longtermcareinsurancepros.com/
John Hancock Life Insurance Company has introduced a new guaranteed increase option (GIO) to its Leading Edge long term care insurance policy. This innovative option provides clients who have automatic inflation coverage the opportunity every three years to increase their current policy benefit amount by 10 percent without underwriting. The option remains available, regardless of how many times a client declines the offer.
"Leading Edge was designed to fit in with the lives of younger, Baby Boomer buyers," said Laura Moore, senior vice president, John Hancock Long Term Care Insurance. "The new GIO option is valuable to them because, later in their lives when they no longer are worrying about the mortgage, college for their kids and helping to care for their parents, they can increase their coverage for any reason," said Moore. "We see this being particularly helpful if policyholders decide to retire to an area where the cost of care is higher than originally anticipated."
The GIO option will be available to existing as well as future Leading Edge policyholders. There is no cost to the benefit unless an increase is elected. If the benefit amount is increased, the policyholder's premium for the increase will be based on current age, original risk category and premium rates in effect on the option date. "While our clients may never choose to exercise the option, they and their advisors can rest assured knowing they will have it available to them every three years," said Moore.
Leading Edge was created with Baby Boomers, who often have competing financial priorities and limited budgets, in mind. Traditionally, inflation protection and longer benefit periods such as "lifetime" coverage were two of the biggest contributors toward higher costs. In Leading Edge, Hancock has simplified and reduced the cost of inflation coverage - with built-in, compound inflation protection linked to the Consumer Price Index (CPI). Every year on the policy anniversary, a policy owner's benefit and total pool of money is automatically adjusted according to the CPI, which has a strong association with housing and labor costs, two of the key drivers of long term care costs today and in the future.
Get your questions answered at LongTermCareInsurancePros
"Leading Edge was designed to fit in with the lives of younger, Baby Boomer buyers," said Laura Moore, senior vice president, John Hancock Long Term Care Insurance. "The new GIO option is valuable to them because, later in their lives when they no longer are worrying about the mortgage, college for their kids and helping to care for their parents, they can increase their coverage for any reason," said Moore. "We see this being particularly helpful if policyholders decide to retire to an area where the cost of care is higher than originally anticipated."
The GIO option will be available to existing as well as future Leading Edge policyholders. There is no cost to the benefit unless an increase is elected. If the benefit amount is increased, the policyholder's premium for the increase will be based on current age, original risk category and premium rates in effect on the option date. "While our clients may never choose to exercise the option, they and their advisors can rest assured knowing they will have it available to them every three years," said Moore.
Leading Edge was created with Baby Boomers, who often have competing financial priorities and limited budgets, in mind. Traditionally, inflation protection and longer benefit periods such as "lifetime" coverage were two of the biggest contributors toward higher costs. In Leading Edge, Hancock has simplified and reduced the cost of inflation coverage - with built-in, compound inflation protection linked to the Consumer Price Index (CPI). Every year on the policy anniversary, a policy owner's benefit and total pool of money is automatically adjusted according to the CPI, which has a strong association with housing and labor costs, two of the key drivers of long term care costs today and in the future.
Get your questions answered at LongTermCareInsurancePros
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