Protecting Your Family's Estate
What they’re really saying is, “It’s not going to happen to me”.
Your nest egg is comprised of everything you own. If you don’t believe in owning any kind of insurance, the shell of the egg is fragile and will eventually break. Most people, to protect their nest egg, own insurance on their home, car and health. You wouldn’t think of going without that coverage, because that would put everything you’ve accumulated at risk. The odds of fire destroying your home are 1 in 1200. The odds of a car accident are 1 in 240, and the odds of a surgery over 65, costing more than $30,000 are 1 in 15. Based on that, and just general common sense, most people, without thinking twice, own home, auto, and health insurance. Unfortunately, the odds of needing some form of Long Term Care after 65 are 1 in 2. Yet somehow people will say things like, “I’ll pay for it if it happens.”
People tend to go into a state of denial when it comes to this subject, yet in reality, this could be the most important insurance you have ever owned. The other insurances listed are all very logical; it’s just something you do as a responsible person. Long Term Care Insurance, on the other hand, is highly emotional, and sometimes otherwise responsible people simply choose to avoid the subject entirely. Many estate-planning attorneys and financial advisors are now including LTCI on their checklists of things to consider. In fact, you could even view LTCI as one of the final pieces in the estate-planning puzzle.