Need Advice-I am looking at a long term care policy and am wondering if the premium I have been quoted is reasonable.

Policy-John Hancock Custom Care II, Annual Premium, Monthly Benefit $7,500, Inf Protect 5%, Benefit Pool/Period Unlimited.
Husband-57 yrs, good health-preferred rating. Premium $5,346/yr
Wife-56yrs, breast cancer-standard rating. Premium $6,009/yr

If any one is familiar with this product, please let me know what you think.

Every long term care insurer has their competitive niche. John Hancock is one of the top long-term care insurers and I've placed a significant portion of my clients with them. But, if you were asking me for a John Hancock policy, I would NOT design your policy that way.

If you absolutely must have a 5% Compound Inflation Benefit and a Lifetime/Unlimited Benefit Period, I would recommend a different long-term care policy for you. You could get equal or better benefits for much less premium with other leading LTCi policies.

Scott A. Olson

I can only assume that you live in a hugely expensive state, like NY for example, and that you are a very wealthy family...as you are certainly looking at a plan that is much more robust than what many would consider an average plan in much of the country. Maybe you are only working with an advisor with a limited knowledge of how to properly structure plans that will blend in with your income in the future. The real key is to have lots more information about you to know whether, first of all, this is even an appropriate plan design for what you really need. Maybe your focus is more on informal home health care than it is on facility care, and then JH may not be as good a choice as others. Lots of things to consider.

As the other poster indicated, JH is a top flight carrier, but there are lots of options out there. You need to be working with someone who can show you alternative plans from other good carriers. Once you arrive at the type of benefit that is deemed appropriate, then you can work on which carrier(s) will provide the best value. Hope this helps.

I am very familiar with the John H ancock Custom Care II policy. John Hancock is not competitive on the Unlimited Benefit model. For most of my clients age 57 and 56, the best company to consider for Unlimited benefits is Guardian (A++, AM Best). The key for my answer would be to know the state in which you reside, as different policy series may be available in different states.

Jack Lenenberg