Are immediate annuities available for those over 90?

How much does assisted living cost, and how much money is there to invest in annuity? Off hand, it sounds completely inappropriate to buy an annuity for a 90-year old person.

It certainly would be better than Long Term Care Insurance. We have discussed my problems with that system before, but here's a new one.

Since the Assisted Living home gets it's money (cash from you)up-front, it has NO incentive to prepare and send it's paper work to the LTC insurer. The LTC insurer has NO incentive to ask for or process the paperwork. The longer it can stall, and it does, the longer they have my money working for them. The insurer was also threatening to lapse because they had not received anything from the home for 2 months.

The suckers who buy this junk are the ones shelling out the cash to keep Mama in the home and constantly fighting both the home and the insurer to get reimbursement.

BTW, here in Phoenix the costs for a moderate home are $2800/month.

Chip

An immediate annuity for a 90 year old would yield 18%, so the yield for a 95 year old should be much higher.

So a $200,000 immediate annuity would cover the costs of a home indefinitely possibly reducing the burden on the assets of loved ones.

-- Ron

If I had this discussion 8 years ago, my then 80 yo MIL would have taken out a deferred annuity (my wife as beneficiary) to cover her assisted living and NEVER would have considered paying the high premiums and low coverage for LTC insurance. I was (still am, I guess) financially naive and swayed by the ad hype and my MIL fears. I hope none of you sell this stuff. It's bad financial planning and a PITA to use.

Chip