Author:
Baily Martin Neil,Harris Benjamin H.
Abstract
AbstractOne retirement challenge is how retirees can spend down their assets (or “decumulate”) to manage the risks described in earlier chapters. The markets for insurance-like products—such as annuities, reverse mortgages, and long-term care insurance—currently do not work well. This chapter explores ways to increase the use of insurance products by bringing more providers into the system. Policymakers should offer incentives to encourage companies to include annuities and long-term care insurance in their standard portfolio of retirement products. Employers should set up information sessions so employees learn the value of insurance and make good decisions. The chapter suggests improving reverse mortgages by, for instance, allowing small-dollar loans with low fees and interest rates and permitting homeowners to convert traditional mortgages to reverse mortgages. Combined, these reforms would better enable savers to obtain insurance against various risks and raise their standard of living in retirement.
Publisher
Oxford University PressNew York
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