Long Term Care Policy Options for Mom

[BooBoo]

My DM is 95 and received letter from her carrier regarding long term care policy renewal with 4 options:


Current Premium $2890



Option 4: Maintain current coverage (Accept Rate Increase) $3084

Coverage $60 day 208 weeks max


Option 3: Surrender policy for payment of $14911


Option 2: Convert to Paid-Up $ 0 premium

Coverage $55723 max


Option 1: Reduce benefits $2570

Coverage $50 day 208 weeks max


Thankfully she can afford the premium increase. I am good with all options and appreciate the feedback.



Boo

 

[njhowie]

Wow! 95 - God bless her!

Now, as far as the policy - because of her age, I would say either option 2 or 3, leaning more towards 2 - no more premiums and have the coverage. Based on the way you listed them, I'm understanding that $55k in option 2 is not set to any daily limit, just that it's $55k maximum payout. I think that is better than the options 1 and 4 which have daily caps. If the time comes when you need it, you'd be able to go for better quality/comfort for $100 or more a day if you like.

 

[Moemg]

I would go with option 2 . At 95 she has a slim chance of spending years in long term care .

 

[badatmath]

$50 a day is not much of a benefit. . . It is far less than the cost of even a shared room.

Not qualified to give advice on the subject but it seems to me I would call the insurer and ask if there are any other options than what is listed before I decided. I believe there often are other options if you ask.

 

[Dtail]

My mom got some version of this request on her policy.
We agreed to change her benefits from lifetime to 3 years maximum, but still kept the 350 per day benefit, plus no premium increases through 2028.
Mom is 86 y.o. and still takes spinning classes.

 

[pb4uski]

You're creating a thread for a $194 issue? Just pay the $194.

What do you mean by the $55,723 in option 3? How much per week and how many weeks?