In your twenties, thirties or forties and healthy? Now is the time to consider long term care insurance while you can qualify for preferred rates, which is a code word for substantial discounts, due to both your age and your perfect health….but be sure you understand what you are getting.

Long term care insurance is just not for the old or infirm.  Long term care is not a place but a health event that effects you over time.  How many persons do you read about that have been injured in car or sporting accidents?  Remember that terrible accident Chris Reeves (Superman) had jumping his horse?  Or how about a neighbor kid or local teen who was injured at the local swimming hole or in a car or skiing accident.   Who takes care of these young people when they are seriously injured and require days, months or years of care? In many cases their parents or family members are seriously affected financially and personally in order to care for them.

Now comes into play the benefits of long term care insurance for younger adults. If an adult has long term care insurance, this insurance will pay for and provide required care for days, months or years. And in some cases, depending on the company, the monies available for an injury due to an accident are double the normal cost of available care.  It would be nice if you could get one plan; the Life/Health/Accident/LTC insurance plan but companies make more money by splitting all this up.

Many younger individuals taking out a long term care insurance policy also purchase an addition to their insurance called restoration of benefits. For example if an individual is in a serious accident, requires care for a period of time and then fully recovers, the entire policy benefit is reinstated once so that it can be used again when the individual is older and requires care. It is a win — win situation providing the best possible solution.

The average age most people begin to consider long term care insurance is in their fifties. The difference in premium between a twenty something and a fifty something can be significant. I often hear concern that a person will be paying premiums for the rest of their life or until they need the insurance. Consider an annual premium of $600 for 60 years versus an annual premium of $2500 for 30 years. Who pays less in total premium? Compare $36,000 versus $75,000. In either case the premium will be recovered in one year or less of care, assuming the policy was purchased with inflation protection. (To learn more about the inside secrets and tips to saving even more be sure to check out the guide - a “tell-all” consumer buying guide written by an ex-agent).

And while you are considering long term care insurance. Talk to your parents. If they have not prepared financially for health care or long term care guess who will be expected to help out? It is the reverse of your parents helping you with a health care accident when you are young. Paying for care for parents is the number one cause of financial distress for children. This expense affects employment, marriages and long term retirement prospects. If your parents cannot afford their long term care insurance premium, consider splitting the premium or paying for it entirely. This will give you peace of mind that your years of hard earned money will not disappear in the blink of an eye when your parents need care.  Make sure if you’re the sandwich generation that no one is taking a bit out of you!