normasdaughter1, nope, even after I saw how expensive it was to get old by watching how much everything cost for my elderly parents. Glad my parents saved big time for that rainy day, as it was storming out there.
My question, money left over in LTC, can the heirs receive the money, or does it all go back to the insurance company?
My very elderly parents were ill only a very short time during the final journey of their lives, so they were self-pay but never used up their rainy day accounts. Thus, the money could be distributed to the relatives or donated to charity.
As for everything in life, there are pros and cons. Some were grateful they had LTC, others were disappointed.
The younger you are when you purchase LTC insurance, the cheaper it is. My DH and I, along with SIL and BIL all purchased LTC policies when we were in our 50s. Not so much because their parents spent their assists (they didn’t have much) but because they didn’t have many choices in their care facilities. It was grueling for SIL trying to find appropriate placement and we didn’t want to go through that. Private pay would have opened up many more choices. Also my DH is 8 years older than I, so we were trying to conserve our savings to pay for care and continued living expenses.
I've considered it, but, doesn't it cut off and then you start using your assets at that point? So, if I die while it's paying, my assets go to my heirs? I don't have any minor heirs, so, I'm trying to figure out is this supposed to help me or surviving adult children who would get the assets in inheritance?
I have looked into it several times over the years, it's hard to understand and seems very expensive for most people who are dealing with normal bills/mortgages and taking care of our elders. I hope I am lucky that my home is worth over 2x what I paid for it, and we can move to a cheaper state nearby. I have some money in investments, and it seems ( at this time) that my retirement and our SS and 401s will get us through. unless it doesn't...LOL I worry but try not to stress.
We pay an unimaginable amount of money for our health insurance as self employed individuals. (I am 56 and my husband is 62) Over $24,000 yearly as of 2017. I’m not sure how much Long term insurance is, but I did find an online calculator which gave me an idea of about $300 mo for $8000 mo in care. It would most likely be more since my husband, although he still works 10-12 hours a day, has had rheumatoid arthritis since he was 19. Anyway, just seems pretty affordable to protect what we have worked for all our lives. @cmagnum, I had no idea you couldn’t purchase long term insurance if you’re on disability. So sorry.
Not me. I figure that if I out live my assets, all the taxes I've paid over the years can kick in and help me out. I have heard too many horror stories about dubious policies to pay for one more insurance premium and who can afford one with the price of medical insurance?
7 Answers
Helpful Newest
First Oldest
First
My question, money left over in LTC, can the heirs receive the money, or does it all go back to the insurance company?
My very elderly parents were ill only a very short time during the final journey of their lives, so they were self-pay but never used up their rainy day accounts. Thus, the money could be distributed to the relatives or donated to charity.
As for everything in life, there are pros and cons. Some were grateful they had LTC, others were disappointed.
ADVERTISEMENT
Anyway, just seems pretty affordable to protect what we have worked for all our lives.
@cmagnum, I had no idea you couldn’t purchase long term insurance if you’re on disability. So sorry.