Long Term Care Insurance – Finding One Without Burning a Hole in Your Pocket

Looking for ways on how you can purchase long term care insurance without a high price tag? Here are some things which you can do.

1. Purchase a group policy.
Employers usually subsidize a group policy; therefore, you can to pay lower premiums compared to when you purchase long term care insurance on your own.

2. Purchase the insurance before you get older.
Basically, how much premium are you going to pay for your long term care insurance depends on your “issue age”, in other words, the age when you apply to be covered by the insurance. When you get older each year, your premiums will increase by 8-12%.

3. Purchase the insurance with your spouse.
If you are married, consider applying for coverage with your spouse because a joint or shared benefits policy allows you to use your joint benefits with more flexibility. Your spouse might also receive discounts up to 25%!

4. Purchase insurance before you are sick.
There are good health discounts which you can take advantage of if you purchase long term care insurance before you developed health problems. The “Healthy Person” discount is about 5-25% depending on your circumstances. Guess what? Even if your health gets worse in the future, you will still get to keep the discounts forever.

5. Make full use of tax deductions.
Premiums you pay for tax-qualified long term care insurance are tax deductible since they are considered to be medical expenses. The premiums can be deducted on Schedule A if the expenses are more than 7.5% of your adjusted gross income.

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