Husband 60 and Wife 57, deposit $157,425 into an Asset Based plan that provides each of them $8,329 per month of long-term care coverage with a lifetime benefit. This means each person can draw out up to the monthly benefit tax-free for as long as they need it. This asset based plan also provides a second to die death benefit of $277,646 which is payable to their estate or beneficiaries tax free if they never use their plan for care. The death benefit is also a guaranteed minimum benefit so even if they only use a portion for care, they remaining amount passes on to their estate. For example, they go on claim and use $100,000 of long-term care benefit, the remaining amount; $177,646 would be paid to their estate tax-free upon the last death. This plan also has a safety net cash value growth meaning if the clients need to cancel their plan, they can receive the cash value which is guaranteed to be at least $179,665 at year 20.
This is a great example of how a client can use existing funds to get unlimited long-term care benefit, a death benefit and still have access to their money if they need it for other purposes in the future. There is no premium due on this plan and no taxes on the growth of the money.