Long-term care insurance is supposed to ease fears about long-term health care, but advisors warn that it can do the opposite.
Long-term care insurance can increase rather than reduce risk in retirement, according to financial planner Melinda Kibler of Palisades Hudson Financial Group in Fort Lauderdale, Fla.
“Mathematics work against [long-term care insurance] because most people will need long-term care eventually,” Kibler says. “For insurance to make economic sense, the risk must be spread across a pool of participants.”
