Long Term Care Insurance Gains Attention in Divorce Settlement Negotiations

With changes in caregiver dynamics and financial complexities, LTC is important for income and asset protection

WINSTON-SALEM, N.C.--(BUSINESS WIRE)--As the economy continues to sputter, divorce rates have increased — particularly among older couples in their 40s to 60s. Divorce brings lifestyle and financial planning concerns that can be addressed with a formal plan for income and asset protection to include long term care insurance.

“Long term care insurance is starting to gain attention in the divorce planning and settlement process”

“Long term care insurance is starting to gain attention in the divorce planning and settlement process,” said Danny Mensh, president of Mensh Insurance. “There are two reasons why a couple, post divorce, should consider it carefully: 1) the loss of a built-in caregiver, and 2) to protect financial assets.”

When a couple breaks up, the spouse who would normally provide in-home care — such as cooking, cleaning and assistance with daily activities if his or her spouse was unable to do these things — is gone. “For many years during the marriage, the presumptive thought was that one spouse would do whatever was needed to care for the other,” Mensh explained. “The burden could fall to the couple’s children, but perhaps the children were deeply affected by the divorce and want nothing to do with one or both parents. Purchasing LTC provides the protection and income to pay for a skilled nurse or caregiver to come into the home.”

Long-term care insurance can protect financial assets in the event of a divorce. “In most cases of divorce, an individual who earns the most income will have a court-ordered obligation to continue to provide income to the ex for a certain time period,” Mensh said. “To protect an asset base that would be used to provide ongoing income, it would be prudent to consider a certain amount of individual long term care insurance to preserve those assets and not disrupt the flow of income to the dependent ex. It is wise from all angles to take reasonable steps to protect oneself from a potentially burdensome financial requirement.”

About Mensh Insurance

Mensh Insurance serves customers in 30 states with independent, straightforward, sound advice and money-saving strategies for life insurance, long term care insurance, disability insurance and health insurance. Visit http://www.menshinsurance.com/.