Financial Leverage

A suite of dedicated financial tools: The company’s founders have created patented software specifically designed to provide sophisticated evaluation of LTCi for high net worth clients. These include evaluation of financial ratios of net present value and internal rate of return, economic impact of benefit design decisions and key impact projections. The context for recommendations takes into account client health, tax advantage, charitable giving strategies as well as new laws like the C.L.A.S.S Act LTCi portion of Obamacare, legal and product trends.

Analysis of care event asset consumption: The illustration depicts the financial impact of a modest care event in an average household. An extended Alzheimers’ situation with typical 24/7 home care in a high net worth household will consume even more wealth. What remains the same is the relationship of no insurance to fund the care, versus the leverage available with insurance coverage appropriate to the client’s lifestyle and care requirements. The line “with insurance” includes premium and any co-payments or self funded care. Both lines include planning variables typically found in professional financial analysis.

Unique LTCi advantages beyond pure risk mitigation: Design options include plans that return premium at death and structures that allow full deductibility of premiums. In planning for charitable giving opportunities, LTCi offers 2x to 10x the leverage of life insurance. Another important consideration is proactively insuring extended family members who represent potential LTC financial burdens.


Howard Rubin, President

LTC Risk Advisors delivers expertise and services for the high net worth client unique to the long-term care industry. We have three goals for clients: provide the best risk-adjusted solutions, the best wellness planning available, and the best care when they need it.