A Guide To Understanding The Moneyguard Insurance Option
Given the often exorbitant cost of long-term care and the long periods of time that some people need to use it, it is obvious that planning for its possible use needs to be a part of every financial plan. While the option of long-term care insurance is not new and has been used successfully for many years, the moneyguard policy is not as well-known. The moneyguard policy is actually an example of a life insurance policy that allows you better flexibility when you are determining the amount of money that will be earmarked for long-term care. Therefore, if you want to protect your inheritors and your estate from paying the cost of your long-term care and would like more direct control over what gets paid at that time, it is a good idea to discuss the following details of a moneyguard policy with your insurance agent.
Understanding The Moneyguard Policy
It will first be necessary to understand that the moneyguard policy is actually a type of life insurance, which is what allows you more extensive control over its use. Specifically, it is a universal policy that is known as a hybrid policy because it presents with the option of using some or all of its value on long-term care. Just as other universal policies do, you also have the ability to cash it out at any time while it is still active.
However, it is important to point out that this type of policy is unique amongst its competitors because you also have the option of limiting the total dollar amount of the policy that you would like to go towards your long-term care costs. By doing so, you can have better control over the estate that your inheritors receive at the time of your death and if you are fortunate enough to never need long-term care, your beneficiaries will simply get the life insurance in whatever way you have designated.
Important Payment Information
The moneyguard policy is not always the right choice for anyone with limited financial resources. That is because instead of the standard premiums that are often associated with insurance policies, the moneyguard payment is funded with a single, bulk payment up-front. However, as previously mentioned, you can get those funds back if you cancel or do not need the long-term care option in the future and it provides a viable way to protect your financial interests when the long-term care costs are so high.
In conclusion, a moneyguard policy is often the most appropriate choice for anyone who is planning ahead for a future that may require long-term care and wants to know that the costs of that policy will not be lost if long-term care is not needed. As a result, if you are unsure as to how you should plan for your golden years, it will behoove you to discuss the above points with your insurance agent.