Long Term Care (LTC) Insurance is an insurance policy that one can purchase that will essentially pay for long term health needs such as if you need a home healthcare worker to assist or take care of you in old age, assisted living facilities or convalescent homes. I've been researching LTC insurance recently as an option to prevent the total decimation of my savings that I hope to bequeath to my children, or even worse, causing my children to pay for long term care were something to happen to me.
From what I've discovered so far, the younger one is when they purchase the policy, the lower the rate they can (sort of) lock into. Age 50's seems to be the optimal purchase time. I've crunched some numbers (based upon me being a smoker, I assumed the high end of the cost) and were I to purchase this year, pay every year, by the time I was 75 I'd have paid about $75,000 for a policy that would pay $150,000 in today's benefit with an annual 5% inflationary increase for future years which would be over $300,000 annual benefit at my 75 years of age.
Does anybody here have experience with LTC insurance? Either for themselves, or for a loved one that purchased it and used it?
From what I've discovered so far, the younger one is when they purchase the policy, the lower the rate they can (sort of) lock into. Age 50's seems to be the optimal purchase time. I've crunched some numbers (based upon me being a smoker, I assumed the high end of the cost) and were I to purchase this year, pay every year, by the time I was 75 I'd have paid about $75,000 for a policy that would pay $150,000 in today's benefit with an annual 5% inflationary increase for future years which would be over $300,000 annual benefit at my 75 years of age.
Does anybody here have experience with LTC insurance? Either for themselves, or for a loved one that purchased it and used it?