- Joseph Belth on Long Term Care Insurance: Whether Long Term Care Insurance (LTCI) is necessary or wise is a common question when people are nearing retirement. The topic deserves a more thorough treatment than a links blurb, but the article gives a taste of why many savvy people choose to self-insure (i.e. not buy insurance) rather than shell out for LTCI coverage.
“Your premiums will never increase because of your age or any changes in your health.” I wrote to the company expressing concern that the sentence, although technically correct, was deceptive. I said the letter should make clear that the company has the right to increase premiums on a class basis.
- Low Interest Rates: Not Easy Money: For years I’ve been cautioning very smart people that I don’t know of a reason why interest rates are bound to return to ‘normal levels’, whatever that means.
Of course if that were true, then the Fed tightening of last December would have led to higher interest rates. Instead, bond yields have fallen sharply over the past 8 months.
- How Long Do 65 Year Olds Live?: Having a basic understanding of the current landscape for people entering retirement is a prerequisite if one wants to discuss the finances and economics that accompany them. Great primer from Wade Pfau here.
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