Your Guide To Long-Term Care Insurance With Abbe Pensack
A Cherry Creek Fashion Brand Partnership
PHOTOGRAPHED & WRITTEN BY ESTHER LEE LEACH
Esther Lee Leach: Abbe, you began a career in long term care, life, and disability insurance in 2011. There are two periods in your life which led to this career, your Dad having a stroke and your husband undergoing a life-saving heart transplant. Can you share more about these life-changing events?
Abbe Pensack: Both were exceedingly difficult times. My dad suffered a major stroke and was paralyzed on his left side. Confined to a wheelchair, my handsome, vibrant, and brilliant dad was never again the same. We were lucky that he saved his whole life to have a comfortable retirement for himself and my mother. He had 24-hour care, 2 shifts, 365 days a year, and quickly was spending his hard-earned savings. Even though my mother had help, it seems the stress took the best of her and she died when I was 30 and she was 64. My father, being a tough cookie, survived for 7 years and spent 700,000. As the only daughter, l I was the one who flew out to help and oversee his care. Often when one sibling (usually the daughter) takes most of the responsibility for care, it can divide a family and cause anger between brothers and sisters. That is something no parent wants to see. During the time of my father’s stoke, my husband Bob was put on the transplant list as he had congenital heart disease. Our children were 3 and 1 ½. Over the years Bob purchased disability insurance through groups at UC Medical School, internship, and residency. It was a blessing that kept our family whole and removed any financial stress during these most trying times. That is why I am so dedicated to my business. Protecting families, children, hard-earned assets, and most importantly peace of mind. Why treat this risk any different than home insurance, health insurance, and car insurance? Long-term care is the one risk that wipes out an entire nest egg.
ELL: You moved to Steamboat Springs over 30 years ago after leaving New Jersey and then beginning your career when your son and daughter went off to college. Tell us more about what you do and your company, Abbe Pensack Insurance.
AP: I pride myself on building relationships with my clients and prospects. These are folks with individual stories, financial needs, and family history. One needs to be respectful and do a complete analysis of what is best for them. Then offer advice and options since the landscape of insurance products changes with new products and changes in existing plans. There is no cookie-cutter answer. I try to put myself in their shoes to do the best I can. I am there for my clients every step of the way and keep in contact with them at least yearly. I began my career with a fortune 500 insurance company but wanted the freedom to broker the best companies on my own. I found that freedom with a national boutique agency. I began with long-term care insurance planning, but over time expanded to life insurance, disability insurance, and Medicare Supplements. Many people are unaware that life insurance can build tax-free cash so it can be an accumulation vehicle. Another tax advantage is long term care benefits are also tax-free.
ELL: Why is long-term care insurance essential? Is there an ideal age where clients should sign up for coverage?
AP: The truth is you purchase long-term care insurance with your health more than your age. Underwriting can be difficult so the sooner one purchases it the better. I bought my policy at 55 and truthfully with certain health changes I may no longer qualify. Most people think about it in their 50’s. I have sold policies to folks in their 70’s. The reason long-term care insurance is essential is that it puts a plan in place that protects you, your spouse, and children from liquidating taxable investments, having families disagree on the plan of care, and not getting the care needed due to cost. Statistics say that over 60% of people living to 65 will need some type of care. We get old, fragile, and may need help with basic activities of daily living. Sadly, cognitive impairment is on the rise with our aging population as well. Medicare does not cover expenses as some people believe. Benefits are paid out tax-free and who does not like a good tax advantage. The premiums also have tax advantages. There are so many ways to fashion a plan with simple long-term care plans, life insurance with riders, and new hybrid products. This shows you why one needs a trusted advisor well informed of all options in the market.
ELL: You are very active in the Cherry Creek Chamber of Commerce. Tell us more about your involvement and why being a member is valuable to your business?
AP: Prior to moving to Steamboat, we lived in Congress Park. In those days you could see the transformation in Cherry Creek. It was a thriving community of small businesses owned by hard-working entrepreneurs. Slowly it became an area of large financial establishments, small businesses, beautiful homes, and great restaurants. When I came back to Denver as a businesswoman, I felt it would be a good place to hang my hat. It most certainly did not disappoint. The Chamber is not a drop your card in a fishbowl and shake a bunch of hands. It is a place to build business relationships, dear friends, a sense of community. I have made many wonderful friends. We have a blast and help each other grow our businesses in a culture of success for all involved. It is like a big family.