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How To Evaluate Policies And Choose
The One Which Best Fits Your Needs

"Over thirty pages are devoted to the Insurance Issues of LTCI.  From the "Tax Qualified" policy, to the various tax treatments and provisions of LTCI policies, to an understanding of the various plans and provisions, and then on to a "Short List" of what to look for, and look out for, in Long Term Care Insurance policies."

"Guarding Your Gold II" points out that with today's policies, the oft said, "I'm never going to a nursing home!" can, in fact, be a reality.  That's the beauty of today's comprehensive LTCI policy.  You can receive benefits at home, where you want to be, or in an assisted living facility, as well as a nursing home, if need be."

"Guarding Your Gold II" points out that "One size doesn't fit all" with Long Term Care or LTCI.  Everybody has different circumstances and different needs.  The "Insurance Issues" chapter indicates that there is no "perfect time to buy," nor is there such a thing as a "perfect purchase."  But your LTCI agent can successfully cover your needs, and design a plan as closely as possible.

"Think you're too young to purchase LTCI?  "Guarding Your Gold II" points out that young age and good health have a way of keeping premiums low."

From The Book:  (Excerpted from the thirty-two page chapter)

"While America abounds with financial publications offering people advice on how to create wealth, or assets, only a few have been written offering advice on how to preserve those assets.  "Guarding Your Gold II" is one such publication .  Like the old prospector, you found your gold, worked hard to dig it out, and now you'd like to keep it—for yourself, and your family.  The new found family money, of the last twenty years, has created new needs for protecting it."

"Preserving assets in the face of extended longevity is a factor. Another factor will be nearly nonexistent availability of social support created by the demographic imbalance of a much larger group of older Americans versus a significantly smaller work force—never before seen in this country.  The incredible inflationary rate of all health care costs in America in general, and the long term care needs of retirees in particular, have created the need for new and unprecedented creative personal protections of individual family assets." 

"Financial peace-of-mind for Americans in the next four decades will only be achieved by "guarding your gold" against all forms of normal and natural aging demands. Care—who's going to provide it, and who's going to pay for it—will be the "voice crying in the wilderness" for many of nearly eighty million Americans as we approach this aging precipice.  Those that plan ahead will not have to be a crying voice, their family money—their gold—so to speak, will be available to them for unexpected—make that expected—long term care needs.  Here's the roadmap to "guarding your gold."  Choose the route that fits you best, and fit the plan to fit your needs."

"Guarding Your Gold II" provides comprehensive answers to the following phrases and questions, which are the most important factors in considering Long Term Care Insurance.

The list is long, and each question is answered comprehensively in "Guarding Your Gold II".  The reader will not need, and will not find, all of the provisions listed below with any one company, but taken collectively, they comprise most of the recent thinking in LTCI.  They will give you an idea of what to look for in a comprehensive Long Term Care Insurance policy. 

  1. The policy must cover all levels of care in a nursing home.
  2. Is the policy an "indemnity" policy, or an "actual expense/reimbursement" policy?
  3. Is the "pool of money" concept available?
  4. What elimination periods (deductibles) are available?
  5. What are the levels of benefits available?
  6. What are the benefit periods available?
  7. What are the issue ages?  Upper and Lower.
  8. Is inflation protection to increase daily benefits available?  Simple? Compound?
  9. What are the pre-existing condition requirements?
  10. How does the company underwrite?
  11. What are the requirements for "triggering" (qualifying for) benefits?
  12. Is the policy federally "Tax Qualified?"  Is the policy federally "Non-Tax-Qualified?"
  13. Does the policy cover Alzheimer's, Parkinson's and cognitive conditions?
  14. Is Home Health Care included, or at least provided by rider? At what percentage?
  15. How does the policy treat Home Care or Alternate Forms of Care?  At what percentage?
  16. How does the policy treat Instrumental Activities of Daily Living?
  17. How does the policy treat Assisted Living Facility Benefits?  At what percentage?
  18. Is the product Guaranteed Renewable?
  19. Does the policy include a "Waiver of Premium Clause?"
  20. How does the policy treat "Restoration of Benefits?"
  21. How does the policy treat spousal discounts?"
  22. How does the policy treat "Survivorship benefits?"
  23. How does the policy treat "Spousal Waiver of Premium Benefits?"
  24. Does the company offer "Shared Benefits?"
  25. How does the company treat the "elimination period?"  Accumulative?
  26. How does the company treat care given to an insured by a family member?
  27. Will the company allow for reinstatement if the policy lapses due to cognitive impairment?
  28. Does the policy have third party notification?
  29. How does the policy treat Respite Care?
  30. How does the policy treat Hospice Care?
  31. How does the policy treat Nursing Home Bed Reservation Benefits?
  32. How does the company treat "non-licensed" care?
  33. Does the company offer a "Return of Premium Benefit?"
  34. How does the company treat "Non-Forfeiture" provisions?
  35. Does the company offer Single Premium, Ten Pay, Twenty Pay, or Paid up at 65 payments?
  36. Does the policy provide for a Personal Care Advocate?
  37. Does the company offer group rates and underwriting?
  38. What are the company's financial ratings?

"Guarding Your Gold II" and your LTCI agent or financial planner will be able to assist you in understanding each question.


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