Annuity “Doublers” can help with Long Term Care

Presented by Richard Mangiameli

More and more seniors are experiencing the need for, as well as the stress associated with, Long Term Care insurance (LTCi) benefits.  Seniors are concerned that when they need help with some activities of daily living (ADLs) and are required to move into an assisted living facility or require medical help with nursing home benefits, that the cost of those facilities could wipeout their hard-earned savings and assets.  They know the importance of having LTCi benefits, but are also concerned about the cost of a LTCi policy.

This is where an annuity that has an income doubler can help clients protect their assets and help close the insurance gap.  With an annuity doubler option, there is no underwriting and there is only a small fee incurred, typically less than ½ of a percent. The payment stream could be as long as ten years.  As an example: take a male who is 65 years old and repositions $250k into this annuity.  The income five years later will be $24k per year.  If you cannot perform two of the six ADLs, the income will double to $48k per year.

Following is an article I read from the NAIFA SmartBrief by Andrew Murdoch that further explores this topic.

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