New Benefit at Open Enrollment - Hybrid Life/LTC

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greenman1
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Joined: Fri Jan 11, 2019 3:49 pm

New Benefit at Open Enrollment - Hybrid Life/LTC

Post by greenman1 »

Employer is offering a guaranteed issue (no health underwriting) hybrid Life+LTC policy via Allstate. Maximum benefit is 200K Death Benefit, but if used for Long Term Care it provides 4% (of 200K) monthly benefit for 50 months, meaning maximum 400K for LTC. Spouse can also get a policy with 80K death benefit/160K LTC.

The premium for $4,292 per year for me $1,467 per year for spouse. The premium is guaranteed till age 80. After age 80, the premium may increase. The policy also builds up cash value over time. I am 53 and my spouse is 50. The benefits consultant tells me that if I waive this benefit this year and wants to enroll it next year, the premium may increase and also we will also have to be medically underwritten.

Does this premium sound reasonable? Anything else I should be asking about?

Thanks for your help.
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