Melissa Levin, CFP®, CFS

I would say the sweet spot to purchase Long Term Care Insurance is in your early to mid 50's. However, with that being said, the premiums on a Long Term Care Insurance policy are lower by age. Also, the need for Long Term Care Insurance could potentially happen at any time (for example, if you were hit by a car and became paralyzed). I have also seen certain disease like Alzheimer’s and Dementia hit people at a younger age. The point is, you never know if and when you may need assistance. If you have the cash flow at an earlier age, it doesn't hurt to take a look at it younger. Please keep in mind Insurance companies alone determine insurability, and some people, for their own health or lifestyle reasons, are deemed uninsurable.

Melissa Levin, CFP®, CFS CA Insurance Lic #0C56086 714-547-8787

Due to industry regulations, the advisor may not post additional reply comments. If you would like to contact the author, please email her at Melissa.Levin@lpl.com. Melissa Levin is a LPL Registered Representative with, and securities offered through LPL Financial, Member FINRA www.finra.org /SIPC www.sipc.org The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual. To determine which investment(s) may be appropriate for you, consult your financial advisor prior to investing.

Yes, it is very important that both spouses have life insurance coverage. Many times people overlook the fact that a stay at home mom is a very important job that if you put a dollar sign on it, you would be surprised at what a high salary it would be. To express my point further, how much would the following cost if you had to pay someone to do this for you:

• someone to go grocery shopping for you • childcare while you are at work • housekeeping • having meals prepared • errands run during the day • and much more

Now, you may say... well, I don't need to pay someone to do all of the above... but, imagine working a full time job. You could take your children to the grocery store with you, have them watch TV while you prepare meals and clean your house. They could sit in the car and run errands with you, etc. Get my point? If one of their parents just passed away, I feel the most important thing to do is spend quality time with your children when you come home from work and not have them do the job with you that the stay at home parent did beforehand. Is the working spouse's income enough to pay for someone to come in and do all of the above? If so, there may not be a need... but if spending an additional $2k - $5k (or more depending on your lifestyle) will hurt your cash flow, you will definitely need to look at life insurance for the stay at home parent.

Melissa Levin, CFP® CA Insurance Lic #0C56086 714-547-8787

Melissa Levin is a LPL Registered Representative with, and securities offered through LPL Financial, Member FINRA www.finra.org /SIPC www.sipc.org

LPL Tracking #1-073729. The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individuals. To determine which investment(s) may be appropriate for you, consult your financial advisor prior to investing.

The best way I can describe the term insurance vs. permanent insurance is by using the example of your home. If you "rent" your home, this would be similar to a term policy. Typically, when you rent your home, you have a lease for a certain time period - 6 months, 1 year, 2 years, etc. At the end of this term, your landlord has the right to raise your rent. Well, term insurance is very similar. At the end of your "term" (10 years, 20 years, 30 years, etc), the insurance company has the ability to raise the cost of your insurance. During the "term" however, the price remains the same.

Whole Life Insurance is a permanent type of policy. A permanent policy is similar to owning your home. When you own your home, you typically pay more. However, you build equity in your home. A permanent policy is similar (there are many types that specialize in building "equity", guaranteed death benefit, etc).

The pro of term insurance is that it is cheaper. The con is that if you still need the insurance after your term is up - it can become really expensive.

The con of a whole life policy is that it is more expensive than a term policy. The pro is that you can design a policy so that the premium is guaranteed for the entire life of the policy and as long as you pay and the insurance company is around... your beneficiary will receive a death benefit. Every situation is different. However, if cash flow is tight, term insurance is typically the way to go if you are looking purely to protect your loved ones in case of your passing. With estate planning, we typically recommend a permanent policy. But every situation is different.

Melissa Levin, CFP®, CFS LPL Financial

Due to industry regulations, the advisor may not post additional reply comments. If you would like to contact the author, please email her at Melissa.Levin@lpl.com. Securities and Advisory services offered through LPL Financial, a Registered Investment Advisor. Member FINRA/SIPC. The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual. To determine which investment(s) may be appropriate for you, consult your financial advisor prior to investing. Guarantees are based on the claims paying ability of the issuing company.