Two new products that pay immediate benefits for long-term health care are being offered by Life Care Funding in partnership with Genworth Financial and Broadtower Insurance Solutions, Life Care Funding announced Wednesday.
One option allows a person to convert any type of life insurance policy that has a minimum death benefit of $50,000 into a tax-free benefit account that will pay for any form of long-term care service.
The second enables a person to buy a medically underwritten annuity for a minimum of $50,000 that provides lifetime monthly income that can be used for any type of long-term care.
The higher the level of care that is needed, the higher the benefit payments will be.
Both products are designed for people who do not have long-term care insurance and have an immediate need for home care, assisted living care, memory care, nursing home or hospice. They are known as Life Care Funding’s Long Term Care Benefit Plan and Genworth Life Insurance Company’s Income Assurance Immediate Need Annuity.
“By putting these two programs together, we are able to provide a one-stop-shop for families that are looking for ways to enhance cash-flow to pay for senior living and long-term care well after the opportunity to pre-plan has passed and the need for care has become immediate,” says Chris Orestis, CEO of Life Care Funding.
Benefits from the life insurance conversion last as long as there is money in the account and any leftover money goes to the person’s beneficiaries. Benefits from the annuity last for the lifetime of the person receiving care.
Broadtower is an independent marketer of traditional and asset-based long-term care products to financial and insurance professionals.