Tom and Tina were responsible adults. They had already raised her children, sent him off to college, and were beginning to enjoy life on their own terms again. At 48 years of age, Tom and Tina had great plans for their retirement. They were planning on retiring when they turn 62, which still gave them plenty of time to work, save, and be diligent.
They were investing in their 401(k)s, the stock market, bonds, CD’s, and so forth, and they were quite confident they would have more than enough to retire at that age. They also understood their health could be an issue. There was a family history of certain conditions that caused Tom some concern. Tina had her own worries with cancer in her family.
The last thing they wanted was to have a significant sum of their retirement savings depleted by long-term care costs, if that would ever come to pass. It had in Tom’s family relatively recently, which is what got them looking into long-term care insurance at this time in their life.
They began shopping around for a policy.
They didn’t know what to look for a first, but when they started comparing policies, talking to brokers, and learning more about it, they kept seeing that the sweet spot, as it might be referred to, as far as age for some type of policy like this was somewhere in the mid-50’s.
Tom thought that was kind of odd, especially considering that the life insurance policy both he and Tina had been carrying had been first acquired when they were in their 30’s.
A life insurance policy is a lot different than a long-term care insurance policy. A life insurance policy, if something happened to Tom or Tina, or both, would have helped pay for a lot of things in the aftermath of those difficult circumstances. It would have provided for their children while they were still growing up.
Now, a life insurance policy, if something happened, would help one or the other carry-on in the absence of their spouse. A long-term care insurance policy might not ever pay out if long-term care is not needed.
The risk of requiring long-term care increases with age, and while there is certainly a chance that something could happen requiring long-term care, people in their 40’s or early 50’s are at a lower risk of requiring it.
Tom and Tina still decided to purchase that long-term care insurance policy because the rate was simply too good to pass up.
If you or a loved-one are considering Long-Term Care Insurance in Encinitas CA, please contact Steve Elliott at Capstone Insurance for an honest discussion about your future and your options. Call today (858) 350-3161.