. . . And The Benefits Are? Long Term Care

. . . and the benefits are?


Neil, a friend and long term client and I were engaged in a conversation the other day and Long Term Care coverage came up. We discussed several different aspects of the coverage and it surprises me how differently this coverage is understood by people. Concerns can be driven by personal experiences with people who have suffered chronic illness over a long period, by others who have incurred significant costs due to an illness or accident and there are those who have become care givers.

Neil seemed to be going in a different direction. He indicated that he as a person of “means” did not need this insurance protection. I thought about it and then said; Long Term Care Insurance could be considered an estate planning device. Neil wanted to know how estate planning became connected to Long Term Care Insurance.

I suggested that one important concept of estate planning was being able to leave something to those important to you. If you had to spend $100,000.00 or more a year on long term care expenses, those dollars would not be there for loved ones. The premium cost of the coverage each year is a reasonable way to protect your assets from being used or exhausted before they reach those most important to you. If you knew that all or most of your long term care expenses would be covered by insurance, then you could be comfortable knowing you had protected your assets from the devastating costs of a long term illness. Expenses that really are not covered by any other insurance or government program in any meaningful way are covered by Long Term Care Insurance.

There are choices with Long Term Care policies. You can select how much expense to cover per day and for how long and what kind of inflation protection you want. Neil could see the choices and recognized the protection it afforded his assets. Neil, there is more to know, but this was a good sample.

Herb


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Herb is associated with Summit Financial Resources, Inc., 4 Campus Drive, 2nd floor
Parsippany, NJ 07054 - Tel: 973-285-3600 direct line: 973-285-3648
hmillman@sfr1.com. He specializes in Personal Insurance Counseling, Financial Planning and Portfolio Management.


Securities and Investment Advisory Services offered through Summit Equities, Inc., member FINRA/SIPC."

Herb began his career in the Life and Health Insurance Industry; became engaged in the Retirement Planning area in the mid 70’s and in Equity Investing, Real Estate Development and Financial Planning with Personal Economics, Inc. as Vice President 1976-86. President of AMG Financial Services 1986-91. Summit Financial Resources, Inc. 1991 – Present.



He and his wife Janet have four children and five grandchildren. His personal interests extend to running, skiing, photography and wine.