One of the safest and most secure ways to cover the cost of care fees is to create a guaranteed income for life through a Care Fees Annuity, also known as an Immediate Needs Annuity. This gives enormous peace of mind to both the person needing care and their family.

It basically means making a lump sum payment which is designed to cover the partial or total cost of the care fees; and then generate future income to cover the remaining costs.

The benefits of a Care Fees Annuity Plan are:

• Security: the income is guaranteed for the life of the annuitant
• Choice of Home: once in the Care Home of choice, with a Care Plan set up to cover inflationary increases in fees, the resident should not have to be moved to a cheaper home by social  services (we need to be mindful that some Care Home charge more for higher levels of Care and hence associated fees can increase – we would always look at the cost of additional Care  levels if applicable and look to retain an appropriate amount to cover this event)
• Peace of Mind: the family of the resident never need to worry about the estate being totally eroded
• Estate Preservation: any remaining funds in the estate can be ring-fenced for inheritance, invested accordingly, or distributed in the knowledge that care fees have been taken care of for  the life of the resident

Please feel free to call our friendly team of expert Care Fees advisors if you would like to understand more about how a care fees annuity could help in your situation on: 01582  794967

Back to FAQ’s