When you visit a Fee-Only financial planner to talk about your financial future and retirement planning, there is a good chance that person will ask if you have long-term care insurance.
If you wonder why a financial advisor would ask you about a specific kind of insurance, remember that medical care, which can be a major expense and at age, can become even more costly as a person gets older. People are living longer these days, but getting older could mean that you are no longer in the best of health and may need continuous medical care. Even if you have carefully saved for retirement, it is possible for health care costs to deplete your retirement funds at a time when you are not able to go out and earn more.
Long-term care policies have evolved and they are certainly not one-size-fits-all. Kiplinger examined some “New Ways to Pay for Long-Term Care” and found alternatives, “if you don’t want to buy — or can’t qualify for — standalone long-term-care insurance.” These alternatives are: policies that combiner life insurance with long-term care insurance, policies that combine a deferred annuity with long-term care insurance, and longevity insurance (a “type of annuity pays out only when you reach a certain age — usually 85″).