Asset-Based Long-Term Care Insurance

March 11, 2023


The unexpected can bankrupt you.  Falling stock indexes.  Increasing energy and food prices.  And just this week, a major bank failure at Silicon Valley Bank.  These are all things that we’ve seen before and come to expect maybe once per decade. 

If you’re vigilant, you can plan for these things to happen and be prepared.  But, what about unexpected things such as – job loss, the sudden death of a provider, the loss of a home due to a catastrophic event, or a debilitating illness or injury that could land you in a long-term care facility?

Even though these things happen unexpectedly, they should be expected to happen at some point.  The interesting thing is no one thinks it will happen to them.  However, one of the most predictable scenarios listed above, which less than 30% of Americans are prepared for, is the need for long-term care assistance.

Let me put it in perspective:

There is roughly a 3% chance that you will lose your home to a fire.  But I bet you have home insurance.

There is roughly an 18% chance that you will total your car in an accident.  But I bet you have auto insurance.

However, there is a 72% chance you will need some type of long-term care assistance in your lifetime.  But like I mentioned above, less than 30% of Americans have Long-Term Care Insurance.


Long-term care can be one of the most financially devastating events to happen to a family.  A stay in a nursing home can bankrupt all but the most affluent families.  But it goes so far beyond the financial aspect of this type of event.

You see, my experience as a paramedic/firefighter for the past 20 years has allowed me the unique perspective of running hundreds, if not thousands, of emergency responses to long-term care nursing facilities.  One of the things I noticed over the years is that some of the facilities were clean, and the people working there genuinely cared about the residents and their well-being.

Some of the other facilities, however, are some of the most God-forsaken places I have ever had the displeasure of stepping foot inside of.  I say that with all sincerity.  You cannot imagine the smells, the neglect, and the general feeling of misery inside those walls.  The workers are some of the most incompetent and ignorant people I have ever come across.  I wouldn’t allow some of these people to put gas in my car, much less care for me or a loved one in the most vulnerable states of our lives.

It can be the difference between spending your remaining years in a Hilton, versus staying in Section-8 housing. 

You see, there are 2 types of LTC Facilities:  Private Pay Facilities & Medicaid Facilities.

I originally just thought the people in the nice facilities that are treated with respect and have great care must be rich, and the ones in the facilities with the awful smell must be poor.

It couldn’t have less to do with it.  There are plenty of people that started in a private pay facility but ended up in a Medicaid facility because they ran out of money.

Don’t get me wrong, there are people who are wealthy and can “self-fund” their long-term care.  But, with the average cost of a Single-Room in a skilled nursing facility being over $100,000 per year, how long could you afford to stay in a private pay facility before you ran out of money???

But, doesn’t Medicare pay for long-term care?

The answer is, NO!

Most people do not know that, much less the rules of even qualifying for government assistance.  Basically, they bankrupt you before you become eligible for government assistance.  And the only privilege you get for running out of money is to then be placed in a Medicaid facility that isn’t even fit for animals.  I’ve been in “pet hotels” that are cleaner and smell better than a Medicaid facility.

But, just because you’re not considered wealthy does not mean you have to end up in a Medicaid facility.  So, how do you avoid ending up in a place like that if you cannot self-fund an extended stay or pay for in-home care???

It’s simple!  You transfer the risk to an insurance company.

Now, I’m not talking about traditional Long-Term Care Insurance (LTCI) that you pay into for years on end, and then possibly find yourself in the position of having to drop the policy if your premiums become unsustainable.  And if you do have to drop the coverage due to unsustainable premiums, you lose all of the money you paid into it.

No, I’m talking about “Asset-Based LTCI”. 

Asset-Based LTCI comes in many forms, but one of the most important aspects of it is you can put a lump sum into the policy and never make another payment again.  And you still have access to the money if you need the cash. Or if you need the benefit, it is always there for you.  But here’s the best part – if you never end up needing the money or the benefit, all of it gets passed on through your estate to your beneficiaries!

But what if I do not have a large lump sum to put into a policy?  No problem!  There are also options that allow you to pay into an LTCI policy for 5, 10, or even 20 years with a guarantee that your premiums will never increase!  And, yes, they have all the same benefits as the lump sum policies.

LTCI is the missing piece to a solid retirement planning strategy.  Not only does LTCI provide financial protection, but it covers emotional protection for your family.  There’s nothing more stressful for a family than having to navigate the waters of long-term care for a loved one.

So, in this week’s newsletter, I’m going to provide you with a copy of my, “LTC ATLAS”.

In this report, I will answer questions such as:

  • What does Medicare actually cover?
  • Am I too old to qualify for LTCI?
  • How is Asset-Based LTCI different from traditional LTCI?
  • Can I choose the facility I want to stay in?
  • Does LTCI cover in-home care?
  • What are the actual benefits of an LTCI policy?
  • Can I use my 401(k) or IRA money to fund an LTCI policy?


All of this and much, much more.  Long-Term Care Insurance goes far beyond protecting yourself financially.  Long-Term Care Insurance is about protecting your dignity in what can be the most vulnerable chapter of your life!

I’ll finish by saying this – If you don’t have a plan for long-term care, the government has one for you. And you are NOT going to like it!

Click the link below to get your free copy of the “LTC ATLAS”.  Take your time to read through it and contemplate what it can provide.  Then click the “Schedule a Call” button in the top right corner of the website to book a short call so we can find the perfect fit for you!

All the best,



Reading Time: 4 minutes


Watch this short video series to learn which annuities I use and how I use them to get an average of 20% more spendable retirement income than any other advisor plans you've seen.

{"email":"Email address invalid","url":"Website address invalid","required":"Required field missing"}