The New York Times ran a very good article today by Reed Abelson “Facing Financial Ruin as Costs Soar for Elder Care“. There is a silver lining to insurance coverage not mentioned in the article.
Yes, traditional Long Term Care (LTC) insurance went into a tail spin years ago, but hybrid life insurance with a LTC or chronic illness benefit has dual utility, a death benefit or if need be a living benefit, at a reasonable cost. American General Life offers the best hybrid life products. It offers a high end monthly accelerated benefit, currently $12,775 per month, that adjusts upwards, subject to IRS daily per diem limit, currently $420 per day. Their chronic Illness rider covers temporary and permanent activities of daily living conditions. Lock at a fixed premium level or increasing benefits that mitigates soaring costs.