Hi, my mum is on eldershield comprehensive 2ADLs (life), $500 benefit. Does the payout start upon 2ADLs and the benefit is for life? Does she need to consider careshield supplement instead?

Premiums will be higher as it is entry upon age. Currently theres a 20% perp discount on the careshield supplement so keeping the $500 monthly benefit may be possible. However overall premium is higher at $594.81 and payable till 95 years old.

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Having said, the careshield supplement from GE does pay 50% from claim upon 1ADLs onwards. There's pros and cons to both, if she has pre-existing conditions then maybe better not to switch.

Hi anon,

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Based on Eldershield Comprehensive, the payout will be $500/mth for life if she has precisely 2 ADL. In other words, she will only be claiming on Eldershield Comprehensive if it is exactly 2 ADL.

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If she has 3 or more ADL, it will be $900/mth ($500+$400) for 6 years and then drop to $500/mth thereafter for life. She will be claiming on Eldershield and Eldershield Comprehensive.

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Upgrading to Careshield life means that in a 3 ADL scenario, she will be claiming both careshield and Eldershield Comprehensive for $1100/mth or more for life (more, because Careshield payouts escalate)

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The key things you need to consider about Careshield supplements are that

1. She will be underwritten at her current age of 49.
2. She must be healthy to be even considered
3. All benefits from Eldershield Comprehensive will be lost if she switches from an Eldershield Supplement to a Careshield Supplement

There are 3 insurers that offer Careshield Supplement. Examine all 3 in detail before you make a decision. Insurance is a long term commitment and you do not want to be stuck with a plan that does not suit your needs.