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View Poll Results: Purchase a LTC Policy or Not?
No, I plan to Self-Insure 78 43.33%
I already have purchased a Policy when <60 years old 52 28.89%
I already have purchased a policy when >60 years old 8 4.44%
I am actively searching to purchase a policy now 6 3.33%
I cannot figure out the cost/benefits of this yet! 36 20.00%
Voters: 180. You may not vote on this poll

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Old 03-17-2012, 10:17 PM   #61
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The problem with the OPM health insurance is that employees must subscribe at hire, or prove that they have insurance through a spouse, else they cannot re-enter the program. If it were opened up for all there would be the problem of adverse selection actuarily(sp?).

When we require everyone to have health insurance I have no problem with the program, as a separately rated pool, be offered. In all honesty, without the employer's contribution, it is very expensive. A married couple pay more than two individuals because family coverage is intended to cover children as well.

As a married retiree with medicare Kaiser's insurance through OPM is much more expensive than the comparable Kaiser Medicare + for two persons offered to my community. Go figure.
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Old 03-30-2012, 07:31 PM   #62
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Chalk me up as another one who opted to self-insure. We don't like the idea of paying premiums and a company going under or the premiums skyrocketing with little notice.
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Old 03-30-2012, 07:49 PM   #63
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I'm also self insuring but I don't have a good reason why.
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Old 03-31-2012, 05:02 PM   #64
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I finally decided and went with the self insure route. I've set aside 7 months of a semi-private room for both DH and I (aka - 14 months expense in total). I figure that one of us may end up longer term but with no heirs they can take my home value as payment. By that time I'll be senile and will pray that the end come quickly.
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Old 03-31-2012, 05:17 PM   #65
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I'm thinking of designating (in my mind anyway) our HSAs as a tax efficient self-insured funding for LTC since an HSA can be used to pay for nursing home care and I can designate my spouse as beneficiary (and vice versa). Instead of paying LTC premiums, I'll make HSA contributions. I currently pay for health care from taxable funds and am building my HSA as an adjunct to our Roth IRAs.

Is anybody else thinking of doing this? Any pitfalls you can think of other than if the funds are not used and we both pass the balance will be taxable to our heirs or estate?
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Old 03-31-2012, 05:23 PM   #66
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Originally Posted by pb4uski View Post
I'm thinking of designating (in my mind anyway) our HSAs as a tax efficient self-insured funding for LTC since an HSA can be used to pay for nursing home care and I can designate my spouse as beneficiary (and vice versa). Instead of paying LTC premiums, I'll make HSA contributions. I currently pay for health care from taxable funds and am building my HSA as an adjunct to our Roth IRAs.
Won't the limits on annual HSA contribution amounts limit creating a substantial LTC nest egg? You are aware you can no longer add to your HSA once you go on Medicare?
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Old 03-31-2012, 05:47 PM   #67
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It would limit it somewhat, but if a couple of the same age started at age 50 and contributed the max until they were age 65 when they go on medicare I think they could have $260k at age 75 (assuming a 5% return), which combined with the SS they would then be receiving would help.

But you are right, it wouldn't fully fund it.
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Old 03-31-2012, 08:01 PM   #68
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I finally decided and went with the self insure route.
What are you using for an inflation rate?

Because my father's care facility really doesn't want to share whatever clues they have.
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Old 03-31-2012, 09:18 PM   #69
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What are you using for an inflation rate?

Because my father's care facility really doesn't want to share whatever clues they have.
I'm setting the total dollars aside today and assuming that investment growth covers inflation (probably a bad assumption, I know ! )
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Old 03-31-2012, 09:54 PM   #70
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I'm setting the total dollars aside today and assuming that investment growth covers inflation (probably a bad assumption, I know ! )
Well, it's better'n doing nothing.

I suspect that care facility inflation is mostly local anyway.
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Old 04-11-2012, 09:34 AM   #71
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Here's another recent opinion -

Why long-term care insurance may become extinct - CBS News
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Old 04-11-2012, 10:54 AM   #72
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I just got a letter in the mail saying that Prudential (my LTC carrier) will no longer issue new LTC policies. They aren't dropping the current policyholders, but won't sign up new ones. This seems to be a trend.
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Old 04-11-2012, 12:23 PM   #73
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I just got a letter in the mail saying that Prudential (my LTC carrier) will no longer issue new LTC policies. They aren't dropping the current policyholders, but won't sign up new ones. This seems to be a trend.
Yep, got a similar letter from my LTC carrier (CNA) nine years ago.
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