Long Term Care

Oppenheimer Life Agency, Ltd. March 28, 2023

When it comes to retirement planning, we often think about the savings we are accumulating for the lifestyle we envision in our golden years. An important consideration is how to protect these assets from market volatility and taxes. However, we often do not take into account that a health care event can have an impact on those very assets. An accident, chronic illness or early onset of Alzheimer’s may require some form of Long-Term Care (LTC) service which if needed, the cost for that care can deplete those assets rather quickly. Most often when planning, we would consider purchasing a Long-Term Care policy to cover a heath care need, however unlike a traditional long-term care policy whereby you pay a premium in exchange for a benefit you may never utilize, an annuity can be a solution. An annuity can provide you with the reassurance that your funds will be there for you when you need them most, whether it is enjoying your retirement or covering costs for care.

Meet Rob and Jane

Rob and Jane, both 68, have worked their whole lives while raising three children. They are looking forward to spending their retirement years together, traveling to those bucket list destinations they never had time to visit. However, when Jane’s mother was diagnosed with Alzheimer’s and had to be placed in a nursing home, Rob and Jane were startled by how quickly her assets were depleted by the cost. This caused Rob and Jane to become concerned that if either one of them ever experienced a health care event, that it could affect their retirement. They decided to reach out to their Financial Professional, Ryan, for some advice. During their meeting with him, they mentioned that although their portfolio was on track to meet their retirement goals, they were concerned that if a health event were to occur, their money would be depleted rather quickly as they experienced with their mother’s finances after she entered nursing care. After listening to Rob and Jane, Ryan suggested purchasing an annuity with a Long-Term Care (LTC) rider. He explains how the annuity will provide a supplemental income stream, which they could use towards their goal of traveling, and should either one of them experience an LTC event during their retirement – they could use the funds within the annuity toward the cost of care. The annuity may alleviate their concerns by offering some protection on a portion of the assets they have accumulated over the years. Rob and Jane decide to go ahead and purchase the annuity. They feel that although right now they are in good health and envision themselves traveling for the next few years, life can be unpredictable, and it is important to be prepared for whatever may happen. They now have the confidence that they can enjoy their retirement as they had envisioned, and if ever faced with an LTC event, they will have the additional financial resources to be able to receive the care they desire, in the comfort of their own home.

woman and her elderly parents

Finding Happiness in Your Golden Years

DISCLOSURE

The information contained herein is general in nature, has been obtained from various sources believed to be reliable and is subject to changes in the Internal Revenue Code, as well as other areas of law. This material is for informational purposes only and should not be construed as a solicitation of any particular insurance product or insurance carrier. Insurance is sold through Oppenheimer Life Agency, Ltd. (OLA), an indirect wholly owned subsidiary of Oppenheimer Holdings. Before purchasing a policy of insurance, please review both the insurance carrier and the insurance policy carefully before investing. Variable annuities are sold by prospectus only, which describes the risks, fees and surrender charges that may apply. Investors should consider the investment objectives, risk and charges of the investment company carefully before investing. The prospectus contains this and other information. You may obtain a prospectus from your Oppenheimer Financial Professional. Please read carefully before investing. This material is not a recommendation as defined in Regulation Best Interest adopted by the Securities and Exchange Commission. It is provided to you after you have received Form CRS, Regulation Best Interest disclosure and other materials. Oppenheimer & Co. Inc. Transacts Business on all Principal Exchanges and Member SIPC.5538247.1