5 More Reasons to Have Life Insurance with Living Benefits

5 More Reasons to Have Life Insurance with Living Benefits

Why more Americans are not purchasing life benefits with a chronic illness or long-term care rider is beyond me! It should be a no brainer, a slam dunk. Where else can you create a pool of money so quickly, with the first payment, that will take care of you while you are living or take care of your loved ones when you die?

Here are just a few stats that should make our hair stand up on end:

  • Approximately every 40 seconds, an American will have a heart attack.
  • 92% of older adults have at least one chronic disease; 77% have at least 2.
  • Every 40 seconds someone in the US has a stroke.
  • Every 66 seconds someone develops Alzheimer’s Disease – see resources

The average couple retiring at age 65 can expect to pay $260,000 to cover their health care costs in retirement. This is for their health care costs only! What about everything else? It is estimated that 20 years from now the cost for assisted living in the state of Texas will from $3,500 monthly to $6,321 based on 3% inflation. Care in a nursing home semi-private room goes from $4,563 monthly to $10,932! That is staggering! How can anyone afford to pay for that? Most Americans have little savings and no long-term care benefits! (Check out this handy Cost of Care tool.)

Enter life insurance with living benefits, or as I like to say, You have the opportunity to create a pool of money for life and your loved ones by discovering the power of living benefits.”

Here are 5 great reasons for life insurance with living benefits:

  • You understand that you need to have something in place to help take care of health care costs as you age. You just have not gotten down to doing it or think long-term care insurance is too expensive. Life insurance with living benefits may be a perfect fit. You just need to ask about it!
  • If you are already considering life insurance, adding living benefits does not add that much to the cost.
  • You don’t lose it if you don’t use it. One of the arguments you may have heard about long-term care insurance is “What if I don’t use it?” This policy will pay you while you are living or if you don’t need the living benefits, it will help support your loved ones when you pass.
  • It is not that difficult to understand. If you cannot perform 2 or the 6 activities of daily living and have a chronic diagnosis by a doctor (not all policies require the “chronic” diagnosis anymore) you will receive your monthly benefit amount based on the policy rider. I realize this is pretty basic and each policy has stipulations, but that really is it.
  • Not many people are aware this product exists. Although living benefits on life insurance policies is gaining traction, not that many people are aware of them because not many agents are offering them.

Life insurance with living benefits may not fit for everyone, but how will you know if you don’t ask?

If you would like to learn more about how life insurance with living benefits works, simply give me a call and I would be happy to discuss it with you.