Long Term Care Insurance - Opinions Wanted

Closed Thread
Thread Tools
  #16  
Old 11-16-2017, 04:39 PM
jane032657's Avatar
jane032657 jane032657 is offline
Gold member
Join Date: Nov 2010
Location: British Columbia, Seattle and Haciendas at Mission Hills
Posts: 1,111
Thanks: 1
Thanked 27 Times in 18 Posts
Default

Another thread

Long Term Care Insurance
  #17  
Old 11-16-2017, 05:41 PM
autumnspring autumnspring is offline
Gold member
Join Date: Mar 2014
Posts: 1,420
Thanks: 1
Thanked 2 Times in 2 Posts
Default Long term care or any insurance is a bet

Quote:
Originally Posted by Schaumburger View Post
I wasn't sure if I should post this in the Non Villages Discussion or the Medical and Health Discussion.

I have been doing a little research on long term care insurance, and I will be going to a presentation in November about it.

Would appreciate any feedback regarding LTC. Worth it or not? I haven't heard what the monthly rate is, I believe it varies on what kind of coverage one chooses to purchase.

I'm a little reluctant to shell out money for insurance I may never use. If I drop dead suddenly at age 78 and never need long term care, what happens to the money I shelled out for 21 years to pay the premiums? I think this money could be put to better use going into my current employer's 401K plan or into the rollover IRA I opened 2 year ago with the money from my former employer's 401K and pension plans.
Just be aware that any,"presentation," is someone or some company trying to SELL something.

Listen, learn AND SIGN NOTHING. Any presentation where you must act now. Don't walk now-RUN.

I recall reading that the average stay in long term care is SIX MONTHS. What is SIX MONTH insurance worth?

You may want to read the Oct 2017 Consumer Reports article.
  #18  
Old 11-16-2017, 07:21 PM
billethkid's Avatar
billethkid billethkid is offline
Sage
Join Date: Jul 2007
Posts: 18,459
Thanks: 0
Thanked 4,743 Times in 1,383 Posts
Default

I don't subscribe to LTC premiums being a lot of money for something that may never be used.
Like home owners insurance?
Car insurance?
Rx insurance?
To name a few almost all of us have.

I personally do not accept the default of going broke and having medicaid is an acceptable alternative.

Like the other insurances in our lives....all just in case...I prefer to add LTC to my list. To me I want some control over the type and quality of where I will be treated/housed.

If I never have to use it it will be a plus. Like all the automobile premiums paid year in and year out for 60 years and happy to not have had to make a claim.

I have LTC for the wife and I. We have been fortunate these many years to not have to use it!!

Like so many things as we age, it is all about personal choices, finances, peace of mind (and affordability).
  #19  
Old 11-16-2017, 07:37 PM
Chi-Town's Avatar
Chi-Town Chi-Town is offline
Sage
Join Date: Dec 2009
Posts: 7,493
Thanks: 185
Thanked 1,478 Times in 711 Posts
Default

Quote:
Originally Posted by billethkid View Post
I don't subscribe to LTC premiums being a lot of money for something that may never be used.
Like home owners insurance?
Car insurance?
Rx insurance?
To name a few almost all of us have.

I personally do not accept the default of going broke and having medicaid is an acceptable alternative.

Like the other insurances in our lives....all just in case...I prefer to add LTC to my list. To me I want some control over the type and quality of where I will be treated/housed.

If I never have to use it it will be a plus. Like all the automobile premiums paid year in and year out for 60 years and happy to not have had to make a claim.

I have LTC for the wife and I. We have been fortunate these many years to not have to use it!!

Like so many things as we age, it is all about personal choices, finances, peace of mind (and affordability).
Sound advice. A financial advisor will tell you that LTC is an essential part of your financial picture even if he or she does not offer it.

Sent from my VS995 using Tapatalk
  #20  
Old 11-16-2017, 10:16 PM
villagetinker's Avatar
villagetinker villagetinker is online now
Sage
Join Date: Sep 2013
Location: Village of Pinellas
Posts: 9,587
Thanks: 2
Thanked 6,005 Times in 2,199 Posts
Default

OP, talk to your financial advisor, you may have options that you are not aware of. I am not interested in posting specific personal info on this site, but if you are interested, send me a PM.
__________________
Pennsylvania, for 60+ years, most recently, Allentown, now TV.
  #21  
Old 11-17-2017, 09:08 AM
BoatRatKat BoatRatKat is offline
Senior Member
Join Date: May 2016
Posts: 260
Thanks: 16
Thanked 196 Times in 70 Posts
Default

Something to consider...several years ago while looking for assisted living for a relative in another state, several of the nicer facilities that did not accept medicaid told us right up front that they did not accept LTC either! This was not an issue since that option was not on the table anyway so we didn't pursue their reasoning for it but it is something to consider before purchasing LTC. Perhaps talk to some of the facilities in the area and ask them if they accept it or not.
  #22  
Old 11-17-2017, 09:25 AM
NotFromAroundHere NotFromAroundHere is offline
Senior Member
Join Date: Jan 2014
Posts: 228
Thanks: 0
Thanked 95 Times in 32 Posts
Default

Quote:
Originally Posted by BoatRatKat View Post
Something to consider...several years ago while looking for assisted living for a relative in another state, several of the nicer facilities that did not accept medicaid told us right up front that they did not accept LTC either! This was not an issue since that option was not on the table anyway so we didn't pursue their reasoning for it but it is something to consider before purchasing LTC. Perhaps talk to some of the facilities in the area and ask them if they accept it or not.
The facility doesn't have to accept it. You pay the bill, then file a claim with the insurance company. Generally the policy will have guidelines about what types of care the facility provides, licensing, etc.
  #23  
Old 11-17-2017, 09:39 AM
dewilson58's Avatar
dewilson58 dewilson58 is offline
Sage
Join Date: May 2013
Location: South of 466a, if you don't like me.......I live in Orlando.
Posts: 11,503
Thanks: 834
Thanked 9,688 Times in 3,601 Posts
Default

I've posted before......................

There are a lot of studies out there................If you have less than $250k in assets, don't buy. And if you have over $1.5mil, don't buy. But if you are in the middle, should consider.

Okay, Open Season............take shots.
  #24  
Old 11-17-2017, 10:11 AM
Cisco Kid's Avatar
Cisco Kid Cisco Kid is offline
Platinum member
Join Date: Aug 2012
Location: Monticello IL
Posts: 1,886
Thanks: 9
Thanked 3 Times in 3 Posts
Default

Quote:
Originally Posted by dewilson58 View Post
I've posted before......................

There are a lot of studies out there................If you have less than $250k in assets, don't buy. And if you have over $1.5mil, don't buy. But if you are in the middle, should consider.

Okay, Open Season............take shots.
__________________
My alarm doesn't have a snooze button. It has a paw.

Chloe
&
Lulu
  #25  
Old 11-17-2017, 02:11 PM
Heyitsrick Heyitsrick is offline
Senior Member
Join Date: Feb 2012
Posts: 248
Thanks: 5
Thanked 311 Times in 132 Posts
Default

Quote:
Originally Posted by retiredguy123 View Post
To each his own, but that is a lot of money for something you may never use.
Well, that's the nature of any kind of insurance, right? And last I checked, no one can really predict the future (well, except the end game, lol).


So yeah, to each, his own.
  #26  
Old 11-17-2017, 03:16 PM
retiredguy123 retiredguy123 is online now
Sage
Join Date: Feb 2016
Posts: 13,954
Thanks: 2,275
Thanked 13,423 Times in 5,111 Posts
Default

Quote:
Originally Posted by Heyitsrick View Post
Well, that's the nature of any kind of insurance, right? And last I checked, no one can really predict the future (well, except the end game, lol).


So yeah, to each, his own.
Right, but I have never paid anywhere near $7500 per year for any insurance. I'd rather go on a cruise and take my chances with long term care.
  #27  
Old 11-17-2017, 03:50 PM
billethkid's Avatar
billethkid billethkid is offline
Sage
Join Date: Jul 2007
Posts: 18,459
Thanks: 0
Thanked 4,743 Times in 1,383 Posts
Default

Quote:
Originally Posted by retiredguy123 View Post
Right, but I have never paid anywhere near $7500 per year for any insurance. I'd rather go on a cruise and take my chances with long term care.
The $7500 per year would indicate you waited far too long to think about getting it.
  #28  
Old 11-17-2017, 05:00 PM
Heyitsrick Heyitsrick is offline
Senior Member
Join Date: Feb 2012
Posts: 248
Thanks: 5
Thanked 311 Times in 132 Posts
Default

Quote:
Originally Posted by billethkid View Post
The $7500 per year would indicate you waited far too long to think about getting it.
Actually, no, lol. Got it at 61. And that's coverage for two people, not one. The wife's had a few health issues that made her rate somewhat more expensive than mine.

But like anything, it's what you want and the options you choose that determines the cost.

We've got over $650K in shared pool benefits available, no elimination period for benefits, 3% annual compound inflation protection - so that current $650K pool keeps compounding each year.

I've already mentioned we get a NYS 20% tax credit (not deduction), so now we're down to $6000 net for two people. My company throws in $1000 in my HSA every year - which can be used for LTC premiums - so now we're down to $5000 net for two people.

Trust me - I've done my homework. And I'm not trying to convince anyone else to do it. Personally, I don't want to put my retirement nest egg at risk were something to happen to either me or my wife that would require some expensive LTC. But, that's just me. Everyone can - and should - decide what's best for them. There's no right or wrong.
  #29  
Old 11-17-2017, 06:48 PM
KaiserSoze KaiserSoze is offline
Junior Member
Join Date: Nov 2017
Location: The Villages
Posts: 1
Thanks: 0
Thanked 0 Times in 0 Posts
Default

I read through all the replies. Some are accurate but some not. I'm new to the Villages and didn't expect to see the constant barrage of info about anything financial, but I guess I understand it. There are a ton of retirees down here and everyone wants to sell something. I do have some professional points that folks can take or leave;
Traditional LTC insurance is generally the use it or lose it variety. As people live longer and the costs get higher to care for someone, particularly if they have cognitive issues that can go on for years, the insurance companies pay out more and more in claims, so the premiums will only get higher. Premium pays for protection of assets. I've seen nest eggs and retirement accounts decimated because of the costs of not only facility care, but in-home care of a spouse.
It's true that if you dont use it, you dont get anything back, and premiums will go up but, like it or not, how to pay for medical care like this is a huge financial risk for retirees, and most don't want to be a financial burden to their kids. People who buy LTC insurance are playing the odds, but statistics do show that chances are good one or both spouses will need some form of care when they get older.
To those who say "oh, I'll just rely on Medicare or Medicaid to take care of things.": Have a better plan, because that one sucks. The more Medicare, Medicaid, and government is involved, the less choice you will have in what happens. Medicare stops paying after 90 days. Medicaid is the door to crappy facilities, restricted options for care, and spend-down scenarios with longer and longer lookback periods. These things are not what someone wants to deal with when they have to make hard decisions about the care of a loved one.
Because of the down sides of LTC insurance, companies do offer other options for those who want some protection against having to come up with $6 or 8,000 a month to take care of their spouse. I've seen some hybrid products introduced that are sometimes a better option. Some are life-insurance based, others are annuity-based. If you have a decent financial planner, he or she should have let you know about these. I've seen annuity products that double or triple a one-time investment if the funds are used for LTC needs. That one requires good health but the person gets it back if they don't use it. For those who say that annuities are always bad; I disagree. They are very effective when used for the right purpose for the right person, and, like anything else, are just a piece of a good plan. The point is, investigate what is out there. There are actually some great solutions if huge long term care expenses might be in your future.
  #30  
Old 11-17-2017, 10:55 PM
Chi-Town's Avatar
Chi-Town Chi-Town is offline
Sage
Join Date: Dec 2009
Posts: 7,493
Thanks: 185
Thanked 1,478 Times in 711 Posts
Default

Quote:
Originally Posted by BoatRatKat View Post
Something to consider...several years ago while looking for assisted living for a relative in another state, several of the nicer facilities that did not accept medicaid told us right up front that they did not accept LTC either! This was not an issue since that option was not on the table anyway so we didn't pursue their reasoning for it but it is something to consider before purchasing LTC. Perhaps talk to some of the facilities in the area and ask them if they accept it or not.
LTC insurance is reimbursement. Not an acceptance issue.

Sent from my VS995 using Tapatalk
Closed Thread

Tags
money, long, insurance, term, care

Thread Tools

You are viewing a new design of the TOTV site. Click here to revert to the old version.

All times are GMT -5. The time now is 10:08 AM.