Long Term Care / Long Term Care Insurance

Hybrid long term care policies

Due to the high cost of traditional long term care insurance (LTCI) and the likelihood of substantial premium increases in the future, insurance companies are offering hybrid policies that combine LTC protection with whole life insurance or with an annuity. With these policies the insured can be assured that their beneficiaries will receive a payout (from the life insurance) if they never need to pay for LTC. Also, if they pay for the LTC/life insurance policy with a single premium then no worries about future premium increases. The LTC/aunnity hybrid offers flexibility on using the proceeds.

Check out this article and other items in this blog: https://www.thinkadvisor.com/2019/05/31/standalone-ltci-premiums-skyrocket-but-alternatives-abound/

Single persons without children who have no strong desire to leave an estate should first consider their assets and Social Security and pension payments along with the value of their house as a way to cover LTC costs before buying insurance. If SS + Pension + assets + proceeds from sale of house would cover LTC, then buying a policy would not be the best option. 
Source: Financial Planning for Women