Nursing Home Fees and Long Term Care Planning

What Most Financial Advisers Don’t Know.

If you have put in place arrangements for the potential of you needing Nursing Home Care at some stage in the future you may find that you need to rearrange your provision and sooner rather than later.

The rules that cover the provision of care for the elderly constantly change and with reviewing your planning on regular basis there is danger that what you have in place is not suitable.

This whole issue of Investment Bonds (or Life Assurance Bonds) as they known has been a little confusing for a couple of years. However many Independent Advisers have been recommending them as suitable for avoiding to have to pay for your own long term care.

That was always going to be a mistake as I have explained on many different occasions as these bonds are invested for Capital Growth and are not Life Assurance plans as was first understood. However local and central government have taken a while to work out what has been going on.

If any of the following apply:

You have been recommended an Investment (Life Assurance) Bond in the past 10 years and beenadvised that it will reduce your overall liability to fund you own long term care (Nursing Home Fees).

or

You have been recommended and Investment (Life Assurance) Bond and it has been suggested that it will reduce your overall liability to fund your own long term care (Nursing Home Fees).

There is a very good chance that you will have been mis-advised as this is not actually true.

The local Council who will be responsible for taking care (paying your Nursing Home Fees) have every right to pursue every investment you have in order to make sure local Council Tax Payers do not have to foot the bill. Of course there are a number of legitimate ways of altering your estate in order to minimise the effect of long term care. Investment bond have never been one and for good reason, they don’t work.

There is some further information in this download Investment Bonds and Nursing Home Fees.