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Insurance
Life Insurances and Long Term Care Policies are essential part of the Financial Planning Process. Most people are familiar with the basics so we will not re-state their importance.
We offer several types of policies from most major Insurance Companies. We evaluate the products, compare their costs and analyze them to see which – if any – would serve you the best. These are the major categories:
Did you know that most life insurance benefits are never claimed? The heirs don't know of their existence, or the papers are lost or forgotten. We keep records of your insurances and investments under our management so that your heirs will always know where to find them when needed.
Marika is licensed to sell Life Insurance in California, Nevada, and New Mexico, and she is licensed to sell Long Term Care, and California Partnership Insurance in California. She compares the products, recommends the best ones for you, identifies the source of funds to pay for it, and incorporates it into your Financial Plan. (See details under CREDENTIALS tab)
(License details, educational background and appointments can be found: www.insurance.ca.gov > Agents & Brokers > Checking License Status >License Number > 0C04138), and also at the Insurance Departments of the named States
TERM INSURANCE:
When you buy a Term policy, you are buying coverage for a specific period of time. If you die during this period, the insurance company will pay your beneficiaries the 'face value' of your policy. The premium you pay for the coverage generally increase as you get older.
WHOLE LIFE POLICY,
also called Permanent Life Insurance, will cover you for your entire life, up to age 100. As opposed to Term Life, your premium remains level as long as the policy is in effect. The premium is initially higher than the premium of a similar face value Term Policy but eventually become lower as you age.
Whole life policies have something called 'cash surrender value'. It comes from a part of your premiums that are invested by the Insurance Company to offset their increasing risks as you are growing older and more likely to die. This cash surrender value is considered to be your own asset that grows with each premium you pay into the policy and is accessible to you via low interest loans or you can transfer it over to another life insurance policy. Should you die before you re-pay the loan, the outstanding balance will be deducted from the face amount of the policy and the rest will be paid to your beneficiaries.
LONG TERM CARE (LTC) (See more under 'Circle of Financial Health > Plan > Elders' and under 'Retirement & Senior Issues' tabs.
Long Term Care Insurance (LTC) is for the elderly, or for persons with chronic disease or disabilities who needs nursing, medical or personal assistance over an extended period of time. It is not a Health Insurance, and does NOT include hospital care.
Most seniors, if they live long enough, eventually will need some kind of care. At that point they may have no choice but move in with their children – if they have any – but this could be problematic: there may be no room for them; their children have to work during the day and can't take care of them; or simply, grandma is just not welcome.
The skyrocketing cost of nursing facilities can wipe out Grandma's estate (your inheritance) very quickly. The solution is: LTC
The cost of LTC depends on several factors: the amount of coverage you buy, when you buy it, which company provides it, etc. It is not cheap, but is a lot cheaper than the alternative of paying out-of-pocket.
CALIFORNIA PARTNERSHIP
This is a type of long-term care insurance policy that offers asset protection if the cost of care exceeds the total amount of coverage. A California Partnership Plan protects in assets what was paid out in benefits, allowing the policyholder to qualify for Medi-Cal while preserving the estate.
If you own a California Partnership LTC policy, you need not spend down to Medi-Cal qualifying limits to receive Medi-Cal benefits. A California Partnership policyholder can keep in their estate the amount equal to the benefits the policy paid out, and yet still be eligible for Medi-Cal.
We know this sounds too technical – because it is. But take advantage of our complimentary one-hour consultation and we will explain it in simpler terms.
Marika is licensed to sell Life Insurance, Long Term Care, and California Partnership Insurance in California. She compares the products, recommends the best ones for you, identifies the source of funds to pay for it, and incorporates it into your Financial Plan. |
