As explained in the last two weeks' posts, Invest in FIA to Fund LTCI Premiums When Retired – Parts 1 and 2, the purchase of long-term care insurance ("LTCI") needs to be a lifetime commitment. It isn't enough to plan for how you will pay for your LTCI premiums during your working years. Planning for the potential purchase of a LTCI policy should be included as part of the retirement income planning process to determine the sources of income that will be used to pay for LTCI throughout retirement.
One potential source of income that can be used to fund LTCI premiums during retirement is a fixed index annuity ("FIA") with an income rider. As explained and illustrated in the last two weeks' posts, with a FIA, you can determine the initial and ongoing investment amounts required to produce a targeted amount of income to match your LTCI premiums, including projected increases in same.