Long term care without liquidating assets
Helping clients navigate the many questions and challenges surrounding long-term care with empathy is one of the most valuable services you can offer as a financial advisor.
To determine if self-insurance is the right choice for a particular client, I suggest taking the following four steps.
According to conventional financial planning wisdom, high-net-worth individuals should self-insure for long-term care expenses.
You may be surprised to hear this from Commonwealth's Insurance department, but there's some truth to the idea.
Although it might seem intuitive to use net worth as a gauge for a client's ability to self-insure, income is a more accurate indicator.
People use income to pay for long-term care expenses, so determining whether or not to self-insure should be a question of liquidity, not solvency.