This is a product marketed by all banks and insurance companies. The dependence insurance guarantees you to receive a monthly annuity in the event of loss of autonomy. But before considering such a contract, know that if you die in full possession of your means, savings invested in this contract will be lost. If you are surrounded and have an important heritage, this provident will therefore rarely be useful. Conversely, it has an interest if you live alone with low means.
First advice: do not subscribe too early. Otherwise, you may spend pharaonic sums, since statistically dependence occurs in the fourth age, beyond 80 years. Do not wait too late either, because the contribution is all the stronger since the subscriber is elderly. Please note: you should not be dependent on the opening and these contracts incorporate deficiency deadlines during which you will not receive any annuity. Many insurance does not include in the event of loss of autonomy following an accident, but it is not systematic. On the other hand, if dependence is due to a disease, it is often necessary to wait between three months and a year before recovering the promised pension. Worse: in the event of loss of autonomy linked to a neurodegenerative or psychiatric disorder, the deficiency deadlines are several years.
A upgraded annuity each year
Schematically there are two ranges of contracts. Basic formulas ensure against the risk of heavy or total dependence and are reserved for the ultimate stages of loss of autonomy. They cost the subscription cheaper, but are more rarely usable, and above all serve less, because the residual life expectancy of the patients is reduced. The more complete contracts include, in addition, a coverage against partial dependence and make it possible to reach a small capital and a rent reduced from the start of the loss of autonomy. They are preferred.
In all contracts, before subscribing, examine the criterion that the insurer takes into account to define the loss of autonomy. Prefer those who use the AGGIR grid (gerontological autonomy and ISO resources group), conventionally used by geriatricians.
The annuity must be revalued each year, according to a clearly defined index. The limits of increased contributions must also be specified, contracts fixing ceilings are more protective. Finally, look at what the contract will become if you stop paying your contributions. The best make it possible to keep part of the guarantees, generally after a minimum period of payments, which goes from seven to ten years.