Many health-related issues play a role in the need for long-term care, from chronic illness to advanced age, accidents, strokes, Alzheimer’s disease, and/or other cognitive impairments. Without the proper plan in place, your entire portfolio and retirement income will be significantly affected. In New York, for example, a private room in a nursing home averages nearly $169,704 per year. The impact on your family could be devastating if Long-Term Care (LTC) protection is not a part of your financial and risk management solution.
One option for protecting your retirement income against the cost of LTC services is to consider a hybrid or combination product. Simply put, a Whole Life (WL) or Universal Life (UL) insurance policy with an LTC rider provides benefits to help cover long-term care expenses.
By linking the two products, a pool of benefit dollars is made available for Long-Term Care expenses, a Death Benefit for beneficiaries, or both.
A LTC rider can be designed to cover the costs of the following care arrangements:
