I don't sell the policies (I'm a fee-only investment adviser), but I work with my clients to help them select a policy that they need, and then I refer them to somebody who can sell them that policy (or who can offer quotes on several, and we select the best one). I'm only familiar with some of the typical new policies, but the client wants the following LTC:

1) Unlimited benefit period and amount.

I could only find the unlimited benefit period. At $500 a day, I figure that the pool of money would be somewhere around $500k. I've also read that some policies are as much as $1M lifetime benefit. Any ideas who still offers these?

2) Client is 45, and wants to pre-pay the entire premium in one payment.

I found the option for paying the premium in 10 years (not available if under 45). Anybody else offering a one-time lump sum payment option?

3) Client wants to make sure that his policy benefits never change in the future, and believes that is possible.

I have the impression that in the future, any company can alter the benefits and coverage to all policyholders. Client thinks that paying the policy in full will protect him from any future changes to the policy. Is this true?

4) An option to get all of the premium back is also something he seems to be interested in.

Given all of the above, any suggestions? Is this 'golden' LTC even available?

Thanks,
Kon

Unlimited Benefit means no pool of money, or put another way, an unlimited pool of money. Yes they are still available, but the trend is to stop offering them. John Hancock has stopped.

TransAmerica offers a single pay in my state.

Once a policy is issued, the company can not change the contract. They can only change the premium. If it is paid up by a single pay, they can't change the premium.

Not sure about a return of premium on a single pay?? It would be excessively expensive in my opinion.

I just quoted a 64 year old a single pay, 5000 a month, unlimited plan with 3% compound inflation rider.

90 day elimination period.

$122,000 premium, just to give you an idea of the cost.

Let us know if we can help.

Bill

So here's a wish list:

1) Unlimited benefit period, $1M (or the highest amount available).
2) Pre-pay the entire premium in one payment.
3) An option to get all of the premium back.

So, two options. One option is just 1) and 2), and the second one also including 3). I guess the client does not care much about anything else. Of course, he'd want 5% inflation adjustment, and all the other optional bells and whistles. He'll buy a policy for himself and for his wife. Any idea who offers such a policy? He's 45 and in great health.

Thanks,
Kon

Kon,
What state does your client live in?
Many states do not allow for a single-pay policy.
Arthur

Massachusetts.

Kon,
Here's your wish list and your options:
1) Unlimited benefit period, $1M (or the highest amount available).

Fewer companies are offering an Unlimited Benefit Period these day. Genworth is still one that does and there are others in MA that will as well.

MedAmerica will offer a $1 million benefit account to start with, but that's the maximum amount of benefits you can purchase upfront.

2) Pre-pay the entire premium in one payment.
I did not find a company in MA that offers a one-pay. 10-pay, 20-pay and pay-to-65 are available.

3) An option to get all of the premium back.
There are 2 available Return of Premium (ROP) options available:
1) A Full ROP: This will pay back all premiums paid upon death or cancellation to the estate or beneficiary regardless of claims paid by the company, or
2) Partial ROP which will return all premiums LESS claims paid upon death or cancellation.

A "Golden Policy" is certainly available for purchase, but you and your clients need to think hard about purchasing a policy that pays for 100% of everything and has every bell & whistle available.

That's not what insurance is about. Insurance is "risk-sharing". Your clients have income and will continue to have income and he should co-insure a part of that risk.

You need to find a LTC specialist in MA that represents a number of major carriers.

You can visit this website to find one.
http://www.aaltci.org/

Good Luck,
Arthur