Vivian was recently quoted in an article in the Wall Street Journal, March 7, 2016, Click here to read the full article.
Jeffrey W. Evans writes: Vivian P. Gallo makes some good points in her article in the September 2008 issue of LTC e-Wire (Long term care insurance a part of divorce settlements? Yes).
Understanding long term care insurance terminology is often the cause of great confusion and frustration for advisors as well as consumers.
Much of the benefits terminology was derived from the long term disability industry, where it also bewildered applicants. Today, many LTC policies use simpler and more understandable concepts, but assessing the terms carefully is still essential, because terms differ between contracts and they may involve tradeoffs from traditional comprehensive LTC insurance.
These tough economic times have impacted almost everyone. With baby boomers approaching retirement in unprecedented numbers, for some it has meant postponing retirement a few years, and for others indefinitely.
Those who are still able to purchase long term care insurance often have stringent budgets, making LTC planning quite challenging. As a result, they have limited choices when purchasing coverage that will at least offset some of the high costs of LTC.
As 2008 came to an end, many of us found ourselves wondering what the adjective “long-term” means in the context of wildly gyrating stock markets and the day-to-day uncertainty this turbulence has created for countries around the globe.
The swift U.S. economic downturn (now officially a recession) has already been so severe that most Americans are far more focused on what tomorrow may do to their nest eggs than on what the “long-term” future may hold in store, health-wise. This is particularly so for baby boomers nearing retirement who may face permanently diminished retirement income streams.
According to U. S. Census Bureau statistics, an increasing number of Americans are divorced, remarried or living as domestic partners (referred to as “cohabitation” by the Census Bureau).
A 2007 report from the Census Bureau shows that in 2004:
- 12 % of men and 13% of women had married twice.
- 3% of each had married three or more times.
- 58% of women and 54% of men age 15 and older had married only once.
Couples entering marriages typically make lifetime commitments, yet divorce rates continue to hover close to 50%, according to the website of the National Center for Health Statistics, Hyattsville, Md.
As a result, the United States has many single parent homes, parents with joint custody and countless other divorce-related issues. Why should long term care planning specialists be concerned with this? Because LTC planning can play a significant role in divorce negotiations or as part of pre-divorce LTC planning.
Over the past 30 years, medical and pharmaceutical advancements have increased boomers’ longevity by decades–far beyond that of their parents. In addition, many boomers married and had families at much later ages than their parents, thus creating what is frequently referred to as the “sandwich generation.”
As a result, boomers now face the responsibility of not only taking care of their own growing children, but simultaneously also seeing to the extended needs of aging and frail parents. All of this is happening against the backdrop of a seriously compromised Medicare, Medicaid and Social Security system.