There’s a lot of talk about long-term care insurance these days—and a lot of questions to go with the chatter.
In a recent article, Forbes gives some interesting answers to a few of those questions. For example: At what age should you buy long-term care insurance?
Most people buy it in their 50s for several reasons. First, most people don’t accumulate significant assets until then. Second, the younger you are, the cheaper it is. A policy that costs $2k a year in your 50s can be $8k a year in your 70s. Finally, if your health deteriorates you may no longer be insurable at all. Almost half of people in their 70s and about 70% of people over 80 are declined coverage so try to buy it while you still can.
The article also explains why your assets manner. Basically, “it may not be worth it to spend several thousand dollars a year in premiums if you only have a few thousand dollars in savings to protect.” And don’t miss the section about state long-term care partnership programs. Buying a policy that’s associated with one of these can significantly affect how much money you’re able to keep and still qualify for Medicaid, the article explains.
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Leigh Ann Otte is a freelance writer who specializes in aging issues and senior care. She covers both for the Today Senior Living blog.