Affluent Buying More LTC Insurance

The affluent are buying more long-term care insurance, but it's not for themselves. It's for their parents... These clients see the costs of their parents' care as a risk to either the estate they want to inherit or to their own assets.

"In many situations, they know they'll be stuck with this as their problem," says Norm Mindel, a Chicago-based financial advisor. "If the kids are well off, they know they're on the hook for taking care of Mom and Dad."

The issue isn't a new one, but Mindel says attitudes have shifted since the recent financial crisis, with people more receptive to long-term policies as opposed to simply putting money aside or other options. Before the recession, some advisers recommended skipping the coverage if someone had at least $2 million in assets. Now, many recommend the insurance because of shrinking assets and soaring health care costs...

FA Mag: Affluent Buying More LTC Insurance