It’s hard enough when a loved one needs care without worrying about how to pay for that much-needed help. But many seniors might now realize they can pay for care using something they already own.
“Since 2007 we have converted millions of dollars’ worth of life insurance policies into long term care benefits that have helped families pay for homecare, assisted living, memory care, nursing home and hospice care,” said Alex Orestis of Life Care Funding.
Whether it’s a whole life, term, universal or group policy, Life Care Funding can turn it into dollars. In short, the service works by purchasing the client’s policy and converting it into a pre-funded, irrevocable Benefit Account. The account is professionally administered and payments are made directly to the care provider on behalf of the individual receiving care.
Find out what's happening in Hinsdale-Clarendon Hillsfor free with the latest updates from Patch.
“Any life insurance policy can be converted into money to pay for care,” Ortesis said.
Each year an estimated $60 billion worth of life insurance death benefits are forfeited or abandoned, much of it by seniors in the final years of their life. More than 85% of all policy owners lapse or surrender their policies for little or no value.
Find out what's happening in Hinsdale-Clarendon Hillsfor free with the latest updates from Patch.
“Those are wasted resources that could be helping people in the final years of their lives,” Ortesis said.
Life Care Funding does not charge the client or care provider for its services, so there is no added cost to using this benefit, and a portion of the account is reserved to help loved ones cover funeral expenses when they arise.
Exactly what a policy is worth in terms of care is decided by an actuarial calculation that factors the face amount of the life insurance policy, annual premium payments and the health care needs of the applicant. Once the conversion value is determined and the enrollment is complete, expenses will be paid directly to the appropriate health care provider.
All of this takes place in as little as 30 days, and benefits typically last from one to three years, depending on the policy’s value and other factors.
Home Helpers of Hinsdale is a Trusted Partner of Life Care Funding – a service that Life Care Funding feels confident recommending to its clients.
Life Care Funding is headquartered in Portland, ME and has offices in California and New York.
To learn more, watch this 3-minute video about Life Care Funding and the benefits it can provide.
