Letters of the Law

Long-term care insurance explained well in recent column

This letter was written to Monica J. Franklin, who writes the Journal’s column, “Senior Moments.”

I’m a non-practicing attorney that enjoys reading the TBJ, and I found your article in the recent issue (“Educate Your Clients about Long-Term Care Insurance,” February 2012) very informative and well written. Too often I read stories about insurance that have incorrect information and it really irritates me, so thanks for being the exception.

LTC is the most undersold personal insurance coverage. People tend to wait until they get older to consider purchasing it and then the premiums are too high for them. During their younger years people are correctly concerned about life insurance to provide for college education and pay off mortgages, and LTC is something they can just wait to get later. I insure a lot of businesses and they always complain about taxes, which is understandable. When I show them how they can purchase LTC insurance for selective employees — like the owner(s), and their spouses or other family members, and deduct 100 percent of the premium if a C-Corporation, they rarely take advantage of this unique “tax loophole.” Even with the government subsidizing the premium it’s still hard to get people to buy LTC coverage — so it’s very undersold and underappreciated.

Thanks for your article — hopefully it will wake some people up!

—  John A. “Jack” Spann III,
Spann Insurance Inc., Nashville