Long Term Care Insurance

Comment

Comment by Hans Hug on October 29, 2009 at 11:49am

42 is not too young from both a cost and health perspective however doing so at that age would make someone an exception; I bought my coverage in my forties and am glad I did as I watch rates increase every few years on new business (vs. inforce coverage); Typically folks start giving it serious though in their fifties after an "event" with a parent for ex.; About 6 or 7 years ago the average purchase age was 72; Now it's 62; We are seeing more interest than ever before from those in their 50's.
Important issues:
- Buy from an experienced LTC Insurer (and the list is short), not a new entrant to the business, even though their financials may be strong;
- Shop around-look at costs from a minimum of 3 LTC Insurers; I typically spreadsheet 5 for buyers;
- Buy from a rep who has serious expertise in this business-it's complex and no place for part-timers;
- Don't buy it if the cost will stress you out badly and perhaps put other financial oligations in jeopardy; Do it when it feels right and makes economic sense at that time;
- Run the cost of coverage through a business as it's up to 100% deductible, because under IRS Code it's considered Health Insurance;

Hope this helps.
HH

Comment by Cindy Kibbe on October 29, 2009 at 9:08am

Is 42 too young to buy LTC insurance? What are some important issues I should consider.