There have been important changes in the tax free exchange rules for life insurance and annuities. These changes may help you if you have a need for long term care insurance.
As of January 1st, 2010, the Pension Protection Act has made it possible to use cash from life policies to fund long term care premiums through a 1035 tax free exchange. This means that if you have life insurance policies with cash value that you might not really need any longer, you could fund a long term care policy to protect yourself and your family without reaching into your pocket any deeper.
There is a lot of information coming out to us every day on this change and we are working to keep up to date on how the various insurance companies are utilizing this change.