Every year around this time, we start sharing numbers for the following year's planning. Here are the inflation adjusted LTC numbers for 2020 that you might find useful. With the Asset Care product line identifying Acceleration of benefit (AOB) and Continuation of Benefit (COB) charges, the LTC premium associated with the policy is identifiable. The … Continue reading IRS LTC Numbers for 2020
On thing that we’ve found is that submitting business using electronic application (eApp) has provided advisors with a few advantages. Along with the an assurance that an application submitted electronically is "in good order" (aka IGO), there are four additional benefits: Comp is paid faster Business cycle by 5-7 days A smoother client experience Reduction … Continue reading E-Application Advantage
According to The Motley Fool in an article from February 24, 2018, the average retirement lasts for 18 years and begins at age 63. While the article is focused on retirement duration and shares a few facts about longevity, it opens the door for a conversation about the biggest financial risk to the retirement plan … … Continue reading Self-Insure = Risk Retention
52% of people age 65 will need some form of long term care? This number still indicates that there is a significant risk that an extended healthcare event will occur at some time. I don’t really care which statistic that you like (70% or 52% or something otherwise). It comes down to this – you … Continue reading Funding Sources – The Question
An interesting thing happened on my way to the office this morning. This time, my office wasn’t an airport, hotel room, meeting room, or automobile; it was my office at home. For the past 2 years I have written and distributed Fridays with Fisher hoping to provide ideas that might help you move the bar … Continue reading The OneAmerica Difference
Something that we do not discuss often enough is process. More specifically, the process to move things into and through underwriting. One thing that we often face is health issues. That is one thing that we do better than any of our asset based peers - underwrite and work with challenging health issues. (Remember, Asset … Continue reading Set the Right Expectation – Underwriting
Here we go again – the discussion of addressing the extended healthcare (aka long term care) funding issue. For many, self-funding ends up being the answer. By default or by decision, people elect to bear the full burden of the cost associated with an extended healthcare event and not elect an insurance-based solution. So, here … Continue reading A Little Pool Anyone?
Expanding on last week’s thoughts where I shared my frustration with our industry’s thirst for younger policy holders, I want to turn the focus from my cohort of “Generation X” to that of the “Baby Boom” generation. In our quest to grow our markets and reduce our risk, our focus has moved away from the … Continue reading Focus on the Boom
Question: Do you have anything that outlines all of the ways to pay premiums for Asset Care and/or Annuity Care? Answer: We certainly do. The piece is a concise graph that shows the many ways that premiums can be funded. Two things to remember, for recurring premium Asset Care, the premium durations can be 5 … Continue reading Q&A – Funding Sources
I have a burr under my saddle. Actually, I have several but this one bugs the heck out of me. The long term care industry continues to move their sales efforts to a younger market. I understand the intent and opportunities, but reality says that most people in their 50s do not have extended healthcare … Continue reading A Burr Under the Saddle
Question: With the changes to Asset Care, is there one place where I can go to get information about underwriting and submitting an application? Answer: We have updated and enhanced the Care Solutions Process Guide which includes both Asset Care & Annuity Care.
The fastest way to impoverishment or to destroying a retirement income strategy or to impact multiple generations physically, emotionally, and financially is not an extended healthcare event. It is not adequately planning for such an event. According to retirementliving.com, the cost of memory care in 2019 is: Average memory care unit $5,745 per month Highest … Continue reading It’s Long Term Care for a Reason