Navigation Links
Controlling Risk Mandates Health Insurance Reviews
Date:7/7/2009

CHICAGO, July 7 /PRNewswire/ -- Consumers struggling to re-build retirement funds, are concerned with controlling risk. When reviewing risks associated with the market, interest rates and inflation, often overlooked can be the potentially more devastating health risks. In fact, the cost of extended nursing care could wreak serious damage on a retirement fund.

Ironically, as consumers' need for long-term care (LTC) insurance has increased, the recessionary environment has prompted insurance companies to re-assess their own risk levels, making the coverage more difficult and expensive to obtain. "While an annual health insurance review is always helpful, today's risk-adverse environment makes the evaluation imperative," says Lisa Dickholtz of Dickholtz Wealth Management, suggesting weighing the trade-offs between the peace of mind a LTC policy might bring and the cost of premiums. "The review process needs to begin around age 50," says Dickholtz. "Waiting until you're 70, especially as insurance companies tighten their underwriting guidelines, may be too late."

In fact, a recent American Association for Long-Term Care Insurance (AALTCI) report indicates risk adverse consumers are purchasing LTC insurance sooner rather than later. Of the 400,000 individuals who purchased long-term care insurance protection in 2008, 84% were younger than age 65.

Why the rush? The younger the applicant, the greater the chance of preferred health discounts that can reduce the cost of long-term care insurance by 10 to 20 percent each year, amounting to hundreds of dollars a year in savings for the average couple. In 2008, according to AALTCI, of the applicants between the ages 40 to 49, 63.2% were granted a preferred health discount. However, 45% of those age 70 to 79, and 70% of those over 80 were denied any kind of coverage for individual policies.

"The ideal LTC policy should factor in age, health, family history, income from wages, pensions for each spouse, Social Security benefits, real estate and other assets, and your income needs," says Dickholtz. "In addition to traditional pay-as-you-go policies, the industry offers cash value life or annuity policies that allow you to retain the entire investment value for use in your lifetime whether you use it for LTC or not, or that will pay to your beneficiaries as a death benefit." To further complicate choosing a policy, insurance companies seem to introduce new riders on a daily basis and contract language is often ambiguous.

Cost has been the reason for putting off purchasing LTC insurance until a decade or two before retirement. However, in this financial environment, the reasons for acquiring LTC coverage earlier in life are compelling. A recent large loss of principal in a retirement account doesn't necessarily require taking uncomfortably higher risks to recoup losses. A less risky alternative could be adding a LTC policy to provide inflation-adjusted, guaranteed income for healthcare needs later in life. Guarantees are based on the claims paying ability of the issuing insurance company.

"Ask your financial advisor for help in designing a policy that meets your unique needs and coordinating your LTC coverage with other insurance," recommends Dickholtz. "Evaluating LTC and disability insurance can be complicated -- and emotional. The task will be easier if you view the products as risk management tools, similar to homeowners or auto insurance." Above all, remember that, like investments, health insurance needs are individual.

About Lisa Dickholtz

Lisa Dickholtz has been a part of the financial services industry for 21 years. As President of Dickholtz Wealth Management in Northbrook, IL and a wealth advisor with Securities America Advisors, she specializes in aiding families, family stewards, widows and single women in the growth and preservation of personal and family wealth. Dickholtz takes a collaborative approach to addressing her clients' needs by consulting with a team of professionals, including CPAs and attorneys, in order to assess and formulate customized plans for accomplishing personal financial objectives. Learn more at www.dickholtzwm.com.


'/>"/>
SOURCE Dickholtz Wealth Management
Copyright©2009 PR Newswire.
All rights reserved

Related medicine news :

1. Fish protein link to controlling high blood pressure -- new study
2. Midwest Center for Stress and Anxiety Releases New Program, The Solution to Controlling Stress and Worry
3. Call to Action: Community Oncologists Propose Roadmap to Reformed Payment System for Cancer Care; Quality Cancer Care Demonstration Project Will Create System, Enhancing Quality Cancer Care While Controlling Costs
4. Cephalon Acquires Controlling Interest in Arana Therapeutics
5. Process controlling T cell growth and production identified
6. Controlling Cholesterol, Blood Pressure Adds Up to Prevent Stroke
7. Controlling our brains perception of emotional events
8. Getting Closer to Controlling Cancer Requires Funding More Laboratories and Commitment Beyond Two Years of New Stimulus, Weiner and Berg Assert in Denver Post Oped
9. Study Shows Consumers With High Deductible Health Plans Are More Savvy About Controlling Costs, Improving Health
10. Team Regrows Neurons Controlling Movement in Rats
11. NJHA, McNamara and Associates Inc. Team Up to Provide Strategies for Controlling Workplace Violence
Post Your Comments:
*Name:
*Comment:
*Email:
(Date:4/29/2016)... Texas (PRWEB) , ... April 29, 2016 , ... Spine ... neck pain, is proud to announce one of their physicians has been invited to ... Family Physicians (Texas ACOFP) Family Practice Review conference on April 30, 2016. , ...
(Date:4/29/2016)... ... 29, 2016 , ... The Gluten-Free Certification Program (GFCP), in ... the launch of the GFCP Scoop in response to consumer demand ... the GFCP Scoop site is to keep the gluten-free community updated ...
(Date:4/29/2016)... ... ... Reltok Nasal Products proudly announces that Boston Medical Products, Inc., a leading ... specialty, has added the KOTLER NASAL AIRWAY™ to its diverse product line. , A ... safety device secured by nasal surgeons onto the floor of the nasal passages, at ...
(Date:4/29/2016)... ... April 29, 2016 , ... Regenerative Medicine Solutions ... Work employee satisfaction survey, earning them second place for Tampa’s Best Places to Work. ... , “This is a great accomplishment for our team,” says RMS Human Resources ...
(Date:4/29/2016)... ... April 29, 2016 , ... Natren, Inc. recently ... of probiotics, Petbiotics ™, as they fondly call them. As animal lovers, ... networking for their non-profit organizations. Animal rescues across the nation face huge hurdles ...
Breaking Medicine News(10 mins):
(Date:4/27/2016)... 27, 2016 Transparency Market Research ... Market - Global Industry Analysis, Size, Share, Growth, Trends, ... the global skincare devices market was valued at US$ ... at a CAGR of 10.1% from 2015 to 2023 ... Browse the full Skincare Devices Market (Treatment Device - LED ...
(Date:4/27/2016)... , April 27, 2016  Bayer Animal Health ... senior from the University of Florida College of ... Bayer Excellence in Communication Award (BECA). Brittany was ... were awarded a total of $70,000 in scholarship ... four years, Bayer has provided a total of ...
(Date:4/27/2016)... April 27, 2016 Oasmia ... developer of a new generation of drugs within ... survival results for Paclical/Apealea in the Phase III ... with epithelial ovarian cancer. These preliminary results showed ... combination with carboplatin versus Taxol in combination with ...
Breaking Medicine Technology: