Best Age to Buy Long Term Care
It is a question that deserves an honest answer, and dialogue. When should you look seriously at long-term care insurance? And should you even look? What got me thinking about this was an article on the US News and Report blog about the topic here.
Should You Buy Long Term Care Insurance At All?
It depends on your net worth. Consumer Reports suggests that folks with $200,000 to $2 million in net worth are a good fit for long term care. The wisdom on the street, where I spend my days, suggests it is more like folks with $50,000 and up considering long-term care insurance. The peace of mind one gets from having an LTC policy cannot be ignored, nor can the costs of premiums. At CoverageNet, we tailor long term care policies to fit a variety of budgets. Another Long-Term care brokerage, LTCtree, has served thousands of clients in making long term care insurance decisions and advises some good ways to save on long term care insurance premiums. The bottom line is, don’t put yourself in a box when considering long-term care insurance.
Back To Age: When’s The Best Age To Apply?
The year before you need the policy is the best time to apply, assuming you can qualify. I jest, but the fact is, long-term care insurance is something that should be considered when you are at the peak of good health. The difference between being insurable and not is only a doctor’s visit away. The general rule is that the 50’s are a good time to look, though more and more people are buying as early as their late 30’s.
Indeed, Health is Key.
If you look at the numbers, you’ll find that waiting five years, premiums may increase only 20%. However, the differences in health will raise your rates anywhere from 10% to 70%. In fact, the highest rate classes are cost prohibitive to the point where very few applicants take a policy once placed in the lower rate classes.
You Know Your Family History Best
The best place to make decisions about long-term care insurance is at the family reunion. Look at your relatives. Do they play golf into their 90s, or is the family reunion actually held at the assisted living facility? 