Dave Ramsey says: 40s is too soon to buy long-term care insurance
My wife and I are both 46, and we have two teenagers in middle school.
We were told recently that now is the perfect time for us to buy long-term care insurance. How do you feel about this in our situation?
No, now is not the perfect time for you guys to buy long-term care insurance.
Research shows there’s about a 1% chance of folks your age needing long-term care insurance, and I generally don’t recommend insuring against things that have such a miniscule chance of happening.
Keep in mind that many factors, such as your current health and family history, could play into your decision of exactly when to buy long-term care insurance.
However, I do strongly urge people to find a good long-term care policy no later than age 60.
At that point, the chances of something unfortunate happening begin to rise each and every year.
You could think of it as a gift to yourself and your family. Nursing home costs are astronomical these days, and care of that sort can deplete your nest egg very quickly!
- Dave Ramsey says: Side project with family is OK, but skip partnership
- Dave Ramsey says: Time for parents to stop bailing out adult son in debt
- Why your 401(k) is the key to your retirement future
- Dave Ramsey says: Even young singles should have up-to-date will
- Dave Ramsey says: Micro-investing apps are OK, but don’t build wealth