Life Health Pro: “Using Facts to Combat the Long Term Care ‘Self-Insurance’ Plan,” 2010-04-06

ClarkeH6_TheClarkeSchool_IndNews_Using_Facts_Combat_LTC_Self_Insur_20100406Learn how to combat the “I’ll just self insure” objection.
Americans are dramatically underprepared to pay for long-term care. According to the National Clearinghouse for Long-Term Care Information, 70 percent of people over age 65 will require some type of long-term care services during their lifetime. On average, care will be required for three years. While only one-third of today’s 65-year-olds may never need long-term care services, 20 percent will need care for longer than five years.
Despite the proven need for coverage, LIMRA estimates that only about 7 million Americans have long-term care insurance. The U.S. Census Bureau estimates that, in 2010, there were more than 40 million Americans age 65 and older.
Asset-based long-term care is a viable solution. Policies are built either on the chassis of whole life insurance or an annuity. Advisors can have a discussion with clients about their long-term care plans, or the nearly bankrupt state of the government, which may not provide for them.