A lot of people follow Suze Orman’s advice when it comes to making financial decisions. It isn’t any surprise, however, that she is not a “favorite daughter” among many insurance agents, mostly due to the fact that she is of the “buy term and invest the difference” school of thought. [While term life insurance is the right fit for many people, as this post shows, it’s not necessarily an all-or-nothing decision between term and permanent life insurance.]
But I digress.
The reason I’m writing about Suze is that she actually wrote an article in the December issue of O, The Oprah Magazine supporting an insurance product that many people either don’t know about or think is too expensive to pay attention to.
Here’s what she said about long-term care insurance: “I was blessed to be able to afford medical treatment for my mother, who lived to be 97, whenever she needed it, but I sure wish we’d bought her long-term care insurance decades ago.”
She goes on to point out that while the annual premiums (she quotes $1,000-$2,000) are a big commitment, long-term care insurance “can potentially save you tens of thousands of dollars a year if you’re unable to care for yourself.”
And, she also suggests that it’s not just for you, but something you can help your parents with—assist with premium payments—if they are unable to afford it.
Suze says, “… it’s a small price to pay to reap huge benefits for the people you love.”
I think most would agree. What do you think about Suze’s advice?