Insurance Case Study: Married and Retired with Grown Children - United Benefits

Meet Amy and Jason, a couple in their mid-60s, who have recently retired after fulfilling careers. Their kids have grown up, moved out, and started families of their own. With their newfound freedom, Amy and Jason are excited to embark on their long-planned travels and enjoy their golden years.

What happens if Amy and Jason don’t have insurance?

Amy, unfortunately, has a severe fall at home that results in a broken hip, requiring immediate surgery and an extended recovery period. Meanwhile, Jason is diagnosed with a chronic health condition that needs regular medical attention and medication. With mounting medical bills and no regular income apart from their limited retirement savings, their dream of a relaxed and adventurous retirement starts to fade.

What insurance could Amy and Jason have taken out?

Protecting Your Life

As life expectancy increases, there’s a higher chance that Amy or Jason might need assistance with daily living activities in the future. Long-term care insurance could provide for home health care, adult daycare, or even assisted living facilities.

Amy and Jason could have invested in a life insurance policy that offers a long-term care clause or rider. This option allows the policyholder to tap into the death benefit while still alive to cover long-term care expenses. This hybrid approach can provide a level of flexibility and assurance, knowing that they have multiple avenues to cover potential long-term care needs.

Protecting Your Retirement

There are various types of supplemental insurance that Amy and Jason could consider to cover potential out-of-pocket costs without relying on their retirement savings.

Critical Illness Insurance: This type of insurance provides a lump sum payment if the policyholder is diagnosed with a specific illness listed in the policy, such as cancer, heart attack, stroke, etc. This could be extremely beneficial for Jason who has a chronic health condition.

Hospital Indemnity Insurance: Hospital indemnity insurance pays a fixed sum per day, per week, or per month that the policyholder is in the hospital. Considering Amy’s severe fall and the required surgery, this insurance would help offset the costs associated with her extended hospital stay.

Dental, Vision and Hearing Insurance: Original Medicare does not cover dental care, eye exams related to prescribing glasses, or hearing aids. Dental, vision, and hearing insurance could cover routine check-ups and necessary treatments or aids, allowing Amy and Jason to maintain their quality of life.

Ensuring Your Legacy

To leave a legacy for their children and grandchildren, Amy and Jason could have considered permanent life insurance policies such as whole or universal life. These policies not only provide a death benefit but also have a cash value component that can be used as an additional retirement income stream if needed.

What happens if Amy and Jason have insurance?

With insurance, the financial impact of Amy’s fall and Jason’s chronic health condition is considerably lessened.

Their hospital indemnity insurance kicked in due to Amy’s surgery and extended hospital stay. This plan provided a fixed sum for each day Amy spent in the hospital, assisting with costs not covered by their primary health insurance.

With his diagnosis, Jason’s critical illness insurance would come into effect. This policy provides a lump sum payment, helping to offset the costs of his ongoing treatment and medication, without eating into their retirement savings.

Their long-term care rider on their life insurance plan ensures that Amy receives the necessary support during her recovery at home, while also securing provisions for potential future assistance they might need with daily living activities.

Furthermore, their permanent life insurance policy would also guarantee that their children would receive a financial legacy, even in the unfortunate event of their passing.

Therefore, having a well-thought-out insurance portfolio provided Amy and Jason with financial stability and peace of mind, allowing them to focus on recovery and enjoyment of their retirement, instead of worrying about their finances.

Embracing Your Golden Years

Your situation might echo Amy and Jason’s, or it might be quite different. Regardless, United Benefits Specialists are here to help you navigate through your insurance needs during retirement. Contact us today for a free one-on-one consultation. Let us help you secure the best insurance solutions tailored for your scenario.

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