If long term care insurance is purchased and used, it is usually a good buy. When a person buys insurance to cover a risk, and the risk happens, the insurance nearly always was a good purchase. Insurance companies go to great lengths to study statistics and actuarial tables to ensure that there are more than enough people buying policies to offset the claims that will be made.
If the long term care insurance policy was not used, then it is not such a good buy. Unfortunately, no one knows that in advance. Getting a policy with a return of premium rider can help make up for the unknown. There are also life insurance policies with living benefits or riders that can be used for long term care type expenses. If the money is not on extended care needs, it is paid out as a death benefit to beneficiaries.
Agent Owner, Gilmore Insurance Services, Marysville, Washington State
Is long term insurance a good buy? Well it all depends on your needs and your assets. The big thing long term care does is provide you a pool of money to help you choose what you want to have happen regarding your care. Without long term care coverage any situation that comes up where you need care, you'll be faced with where ever will take you and quite possibly a reduction in assets to cover the cost.
The idea of long term care being a good buy is strictly in the eye of the beholder. For some it doesn't matter and for others it is just a matter of plugging in the right variables to make the plan work best.
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If the long term care insurance policy was not used, then it is not such a good buy. Unfortunately, no one knows that in advance. Getting a policy with a return of premium rider can help make up for the unknown. There are also life insurance policies with living benefits or riders that can be used for long term care type expenses. If the money is not on extended care needs, it is paid out as a death benefit to beneficiaries.
The idea of long term care being a good buy is strictly in the eye of the beholder. For some it doesn't matter and for others it is just a matter of plugging in the right variables to make the plan work best.