One of the most common concerns of people who have long term care insurance is the question of whether they'll ever actually need long term care. Many people who pay insurance premiums for years never actually go into assisted living, a nursing home or receive in-home LTC. If this is a concern for you, you should consider buying combination long term care and life insurance. This kind of policy helps protect your assets in the event you need care, but also means you won't lose out if you don't need any care at all. This long term care review can help you find out more about it.
Currently, term life insurance policies do not offer accelerated benefits for long-term care. It is a feature that you can add on to universal life insurance that has cash value. If you have a combination policy, and qualify for long term care, then you can withdraw the cost of that care from the death benefit of the life insurance. Policies vary in the percentage you can withdraw, and at what rate. Once the costs of care have been withdrawn from the policy, the remainder will go to your beneficiaries. So in the case that you never need care, the entire amount will be paid as a death benefit.
While there will be a slight increase in premiums for combination long term care and life insurance, it is far less than the cost of two separate policies. Also, like standard long term care insurance benefits, any money you receive from a combination policy is tax free.
Combination insurance has many financial benefits, but there are some potential drawbacks as well. Some companies have been slow to offer this product. While some companies, like John Hancock, MetLife and CNA, offer policies, others may not. Also, some agents are not familiar enough with both types of insurance to recommend a product or a company. Make sure your agent has handled combination policies. Also, you will want to check the coverage offered with the combo policy and make a comparison with a standard long term care plan. Will it give you the kind of care you need? Also, you will want to see what kind of condition or disability will qualify you to receive benefits. Doing your homework in advance will help you avoid a surprise later on.
Combination long term care and life insurance policies offer a number of benefits. You won't have to worry that you're investing money for something you'll never need. Long term care costs can be expensive, but with a combination long term care and life insurance policy, you won't have to worry about protecting your assets at the expense of your well-being. And now, to help inform you, there's a way to get a free long term care insurance quote from a qualified expert.
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