Tax-Qualified LTC

You have worked hard all your life to create a home, assets, and a savings arrangement that will support you in the lifestyle to which you’ve become accustomed. One day, however, everything you’ve saved, all that you have built, may be put at risk by the simplest of everyday challenges – an inability to do those things that are necessary to daily life, such as moving around without assistance, bathing and dressing yourself, eating alone, and so on.

Your inability to perform these activities of daily living means that you’ll need to hire someone to help you out. It may even mean that you’d need to relocate to a facility designed to provide such help. The real question is…Who will be paying for these long term care expenses? Savings? (May be inadequate) Family? (Probably don’t want to be a burden to them) Social Security? (Medicare, the medical care part of Social Security, does not pay for custodial care) Who can help pay for the assistance you require?

One answer is to let the long term care coverage that you already have pay for the assistance. What’s that? You say you don’t have long term care protection? Wrong! Everyone in the United States already has long term care coverage. It is called Medicaid (Medi-Cal in California) and pays for these expenses. Relax, you are covered. In case you haven’t checked lately, here’s a quick Medicaid premium calculator:

Medicaid “Premium” Calculation

Earnings “Premium”		“Assets Premium”
+ Take your Total Monthly Income - Subtract $2,000 = Equals “Earnings Premium”		+ Take your Total Assets - Subtract your Home and a Car = Equals “Assets Premium”
“Earnings Premium” + “Assets Premium” = Total Medicaid “Premium”

What is your “premium” total? Don’t you think a long term care insurance policy might be a little less expensive? Since you already have Medicaid coverage (you just haven’t paid the premium yet), isn’t it fair to say that long term care insurance really isn’t about healthcare protection, but rather…

Long term care insurance is lifestyle and asset protection insurance.

What are the chances that anyone will actually need to pay for long term care expenses? The Brookings Institute says that the average 65 year old person has a 20% chance of having no long term care expenses during their lifetime. The remaining 80% will have some long term care expenses! 58% chance of $50,000 or less 9% chance of $50-100,000 expense 13% chance of $100,000 or more! Protect your assets. Protect your hard-earned lifestyle with tax-qualified long term care insurance…today.