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Should I buy long term care insurance?

By Insure.com

Nov. 20, 2007

Health Insurance Forum

Question: I'm thinking about buying long term care insurance. Given the economy, however, I'm not sure I should spend the money right now. Should I?

Kim, Wisconsin

Answer: Dear Kim,

Long term care is generally a good buy (particularly if you can get a good premium rate through your employer), but it depends on a variety of individual factors. The United Seniors Health Cooperative says you should buy long term care insurance only if you meet these guidelines:

  • You have more than $75,000 in assets per person in the household.
  • Your annual income is $30,000 or more per person in the household.
  • You can afford the premiums without making a lifestyle change.
  • You could still afford the premiums even if they increase by 20 percent to 30 percent in the future.

There are many other issues to address when shopping for long term care insurance, including life insurance riders, inflation riders, spousal discounts, alternative care, and even the definition of a care facility. For information about these issues and other topics, read The basics of long term care insurance.

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Disclaimer: We are journalists, not financial planners or insurance brokers. Nothing we say should be interpreted as a recommendation to buy or sell any insurance product, or to provide other financial or legal advice.

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