“The two most important driving forces for the federal
budget are the aging of the U.S. population and rapidly
rising health-care costs.”
- Federal Reserve Chairman Ben Bernanke
Life Care Funding Group (LCFG) specializes in converting the death benefit of an in-force
life insurance policy into a long term care benefit plan to cover the costs of
skilled nursing home care, assisted living, and home healthcare.
“Untold numbers of seniors have been devastated by the
investment markets’ 2008 collapse and are searching for
new ways to fund their retirement.”
–Insurance Studies Institute
“The housing crisis has kept thousands of Americans who need
support and care from moving into retirement communities or
assisted living centers, effectively stranding them
in their own homes.”
–New York Times
“In the coming decades, many
Americans will not have a way to
pay for long-term care services.
As the population is aging, the
need for long-term care services
is exploding. However, as the
need for services increases,
government funding will not be
able to keep up, undermining a
critical component of the
nation’s health care delivery
system.”
–The Long Term Care Funding
Crisis Milliman Consulting
The Assurance Benefit is a “Funding
Bridge” to help families pay for the costs
of senior living and long term care by
converting an in-force life insurance policy
they no longer need or can no longer
afford while preserving other more
valuable assets.
Q: Is it Time to Consider
Converting a Life Insurance
Policy into a Long Term Care
“Assurance Benefit”?
A: If a policy owner has outlived
the purpose of a life insurance
policy, can no longer afford the
premiums, and is spending
down assets to eventually
qualify for Medicaid—then
converting a life policy to help
pay for long term care should be
considered.
A Life Insurance Policy is legally
protected as personal property by the US
Supreme Court and the policy holder has
the guaranteed right to convert it to pay
for Long Term Care and Senior Housing.
A Life Insurance Policy is a Financial
Asset just like a stock or bond.
Supreme Court case Grigbsy v. Russell
(1911)
- Justice Oliver Wendell Holmes
Life Care Assurance Benefit
Converts the death benefit of a life insurance
policy into a long term care benefit to cover the
costs of Senior Living and Long Term Care.
• Simple application and review process (30-45
days)
• No age or policy size minimum
• No premium payments
• All types of in-force life insurance qualify
• Fixed payments made directly to care
provider/facility
• Preserves partial death benefit
•Provides Final Expense funeral benefit
• Benefit can stop and start or be adjusted to
match changing needs
• SNF, AL, Home Health and Hospice all qualify
RESOURCES
Educational materials to inform everyone
about the benefits of “Funding Solutions” and
how the process works:
- Website
- Brochures
- Articles and White Papers
- Seminars
- Phone Support
Assurance Benefit Enrollment
Example #1
Case Study: 27785691A
Policy owner: 73 Female
Policy value: $100,000 (UL)
Lapse Value: $0
Cash Value: $0
Assurance Benefit: $35,000
or 35% of death benefit
• Enrollee approved for $35,000 total benefit with $2,000 per month payment to care provider for duration of benefit period.
$5,000 Final Expense benefit issued at maturity.
Assurance Benefit Enrollment
Example #2
Case Study: 14793181H
Policy owner: 70 Male
Policy value: $250,000 (term)
Lapse Value: $0
Cash Value: $0
Assurance Benefit: $150,000
or 60% of death benefit
• Enrollee approved for $150,000 total benefit with a $30,000 initial benefit payment to cover first three months of care
and $10,000 per month payment to care provider for duration of benefit period. $5,000 Final Expense benefit issued at maturity.
Assurance Benefit Enrollment
Example #3
Case Study: 37651290D
Policy owner: 86 Male
Policy value: $90,000 (UL)
Lapse Value: $0
Cash Value: $0
Assurance Benefit: $31,500
or 30% of death benefit
• Enrollee approved for $31,500 total benefit with $1,800 per month payment to care provider for duration of benefit period.
$4,500 Final Expense benefit issued at maturity.
Who Benefits and How?
•
Consumer: Convert an asset they already own and will abandon into a
long term care benefit plan that will provide private pay dollars to their
preferred form of senior housing and care.
•
Provider: Long term care service provider receives private pay funding
for services over a guaranteed timeframe without disruption from
cutbacks in Medicaid reimbursements.
•
Medicaid and Tax Payers: Extend the ability to keep a person private pay
and delay entry onto Medicaid generating considerable savings to
stressed Medicaid budgets and tax payers.
“Long-term care is the sleeping giant of all U.S. social
problems. It is most certainly the biggest age-related
challenge our country faces.”
– National Endowment for Financial Education
Life Care Funding
Group, LLC
Phone: 888-670-7773
Fax: 207-514-9999
info@lifecarefunding.com