The executive market is "tailor made" for Long Term Care (LTC) insurance. Incorporating a Corporate LTC strategy will allow you to create customized plans for select groups of highly compensated employees while providing favorable tax treatment to the corporation and policy holders. In addition, paid-up options allow you to limit the time frame of premium outlays to the duration of the executives' employment while continuing executives' benefits after retirement.
These paid-up premium options, along with return of premium riders, are a cutting edge approach in the Corporate LTC market.
The shift in federal policy continues to move the burden of long term care costs from the government to the individual. At the same time, the cost of nursing homes and similar care providers is rapidly escalating. This trend is projected to continue as the life expectancies of healthy retirees extend into their 80's and 90's and the probability of needing long-term care increases. The costs associated with LTC can quickly deplete the financial resources that executives planned on during retirement.
A corporate sponsored Executive Carve-Out Plan can provide tax benefits to the corporation while helping executives fund their long-term care needs, secure retirement assets, and preserve their estates for future generations.