Here’s a September, 2014 Morningstar article by Christine Benz describing the main differences between traditional long-term care insurance (LTCi) and the newer hybrid (also known as “combo”) LTC products. Hybrid LTC products are life or annuity based; traditional LTCi is a type of health insurance.
This article is good because it is written in “lay” language.
I have more articles that describe the differences between traditional versus hybrid LTC approaches. Email me and I’ll send additional articles to you.
Although I’ve been working primarily with traditional LTCi for the past 24 years, before embarking on this career, I spent a couple of years selling life, health and disability insurance. I still know how to explain complicated aspects of life and annuity-based products adeptly and simply.
There are pluses and minuses to each approach. I like to show both approaches and don’t favor either. I just want to see more people take the high risk, high cost odds of needing long-term care more seriously, and plan accordingly.
In the Big Picture, each approach is good. Just take action and plan for needing long-term care, now!
Here’s an old, rhetorical question that’s been around well before I started my career. Here it is: what’s the best insurance policy? Answer: the one that’s in force when you need it!