Bankers Life and Casualty Company has announced a new deferred fixed annuity with a long term care rider.
Bankers Life, Chicago, says its new LinkedSolution annuity lets consumers save for long term care with a product that builds value until assets are withdrawn.
“The product should appeal to those who are reluctant to pay long term care premiums when they might not need the benefits,” says Scott Perry, president of Bankers Life.
The LinkedSolution product requires a one-time minimum premium of $25,000 or more and features guaranteed minimum interest rates, tax-deferred growth and annual free partial withdrawals.
The cost of the LTC insurance is deducted directly from the annuity account.
Buyers of the annuity can receive an additional LTC benefit of up to twice the annuity value, once their annuity account value has been exhausted due to a need to pay for care, Bankers Life says.
LinkedSolution is available in Georgia, Idaho, Indiana, Kentucky, Louisiana, Michigan, Maine, Nebraska, New Mexico, North and South Carolina, and Washington. Bankers Life plans to release the product in 10 more states by the end of June.