In this video, host Tobi Roberts interviews Stewart Scothorn, the founder of The Long Term Care Link, to explore the importance of planning for long-term care (LTC) and the various options available. They explain that while 70% of people will require LTC at some point, traditional long-term care insurance is becoming less viable due to fewer providers and stricter qualification standards. Self-funding LTC is also often unrealistic due to the high costs, with nursing home care reaching up to $240,000 annually.
The conversation emphasizes the benefits of hybrid products—annuities or life insurance with long-term care riders—as more practical solutions. These products offer multipliers on initial investments and allow for care in-home or at facilities, without losing the funds if LTC is never needed. Stewart also mentions impending legislation in multiple states that could tax citizens who lack long-term care insurance.
Key takeaway: It’s essential to explore and plan for long-term care through products like hybrid annuities and life insurance policies to avoid financial burdens and ensure quality care.