As it happens, in the long-term care benefits game there are really two schools of thought on benefit payouts. I am talking about a limited (finite) pool of benefits versus an unlimited (lifetime) stream of benefits.
I bet that you thinking that I would jump on the indemnity versus cash train … that is another deeper discussion for another time.
It is really that simple. A pool of benefits is just that, a finite amount of resources that are dedicated for the specific needs of the client. Most people employ the pool strategy by default of by decision.
As an aside, we all are born with a default long term care plan … that is the plan of hope. I have mentioned it before, but it is worthy of repeating. The plan of hope is simply –
- Hope that you remain healthy, but if you are not then …
- You hope that the issue is not serious, but if it is then …
- You hope that is manageable and then …
- You hope that you have adequate resources (people, money, etc) then …
- You hope that it does not gut your plans for your future.
Think of the pool of money as that watering hole in Africa where in the spring they are full and as the heat of the summer progresses, they gradually dry up. Unlike the watering hole which may get rejuvenated the following year, once the LTC watering hole is dry – it’s gone. And, remember, this is your default plan … use your money until it runs out then rely on government assistance (if you qualify).
The stream of money is exactly what its name implies a stream of money that will be paid for the duration of the long-term care need. Once the need is no longer there, the stream is turned off. That may be long in duration or a short period of time.
It’s really that simple – do you want a pool of money or an unlimited stream of money to pay for your long-term care support needs.
OneAmerica Care Solutions products are the ONLY insurance solutions that offer that flexibility.
Contact my internal sales partner Kelley Hilliard at (844) 623-4251 or via email at kelleyhilliard.isp@oneamerica.com for more information or to secure your copy of the Step by Step Guide to Long Term Care along with the Care Planning Worksheet.
Fridays with Fisher 