YOU ASK:

Can I have two long term care insurance policies?

WE ANSWER:

If you can afford two policies, why not?

But this will actually come out to be more expensive than just having one policy with a high level of benefits and payment period. The other fees such as the agent's commission and insurance company administration expenses will be more with two policies instead of one.

However, we recommend that instead of getting two long term care insurance policies, why not get one short-term care insurance and one long term care insurance. That way, when you need money to pay for assisted living or a nursing home, the short term care insurance will pay for the first few months, with the long term care insurance kicking in after the short term care insurance has already reached its maximum payment period.

Another combination you can consider would be buying life insurance with long term care coverage. With this coverage, you can ensure that you are provided for in sickness or in death. If you need long term care insurance, the policy will pay for a portion of this out of the cash value. Or else, you can also accelerate the death benefit and get a certain percentage of it when you are stricken with a critical illness. In the event of your death, the remaining balance of the death benefit and any accumulated cash values or dividends will be paid out to your beneficiaries.

One other thing you can look into would be to enroll in the CLASS Act or the Community Living Assistance Services Act. This is part of the provisions outlined in the new health care reform bill that has been recently passed. The CLASS Act is a federally-sponsored program that charges very affordable premiums and are only payable for 5 years. After that, you can start claiming when you do need financial assistance for long term care. You can get this coverage along with one long term care insurance policy. This is a more affordable option, rather than getting two policies.

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