I’m not even close to retirement and I’m healthy. Why should I consider long-term care insurance now?

Long-term care insurance products are age-related and health underwritten. This means you can only get a policy if you are healthy and the younger you are, the lower the premium. You will pay longer, but you’ll pay less premium than if you wait to say, age 65 to purchase a policy. Adults of all ages need to seriously consider a policy. And remember, over 40% of those receiving long-term care are under 65. Finally, there’s a hidden cost of waiting that most people don’t think about. Today you might be able to buy a policy for $140 a day to cover the cost, but ten years from now, you would have to buy a policy for about $240 a day, plus you would be paying premium for ten years older than you are now! A quick example is a 50 year old person who has a spouse or partner could buy a three year benefit period with the $140 daily benefit for $94 a month today but in 10 years, a $240 daily benefit would cost about $200 a month! And if you develop a serious health condition between now and then, no amount of money will buy a policy for you. Better to buy now while you are insurable.

Posted in: Consumer