Who among the following is most likely to need and be able to obtain a long-term care policy?
A) Mike is 35,in excellent health,single and makes $56,000 per year
B) Clare is 38,in poor health (cancer),married and makes $27,000 per year
C) Gail is 78,has been diagnosed with senile dementia,and is retired with a net worth of $500,000
D) Steve is 56,in good health,makes $75,000 per year and has a net worth of $750,000
E) Ava is 85,married,makes $73,000 per year and has a net worth of $4,000,000

Question

Quizplus · Accepted Answer

Gail, who has been diagnosed with senile dementia and is retired with a net worth of $500,000, is most likely to need a long-term care policy. She has a higher probability of requiring long-term care than the other individuals due to her medical condition, and her net worth is high enough to afford the premiums for the policy. Mike, in excellent health at age 35, is least likely to need a long-term care policy; and Ava, who is 85 and has a net worth of $4,000,000, may be able to self-insure for long-term care expenses. Clare's poor health and lower income may make it difficult for her to obtain a long-term care policy, and Steve's good health and high income/net worth may also reduce his need for a policy.

Who Among the Following Is Most Likely to Need and Be