New Update: Healthcare Costs Increasing by Over 60% in Some States. Will you be impacted?

How Asbury Automotive Group Employees Can Use an Older Life Insurance Policy to Support Long-Term Care Needs

Healthcare Provider Update: Asbury Automotive Group Healthcare Provider Information Asbury Automotive Group primarily utilizes Aetna as its healthcare provider for employee health benefits. Healthcare Cost Increases in 2026 With the landscape of healthcare evolving, Asbury Automotive Group employees and retirees are poised to face significant challenges as healthcare costs surge in 2026. Projections indicate that many ACA health insurance premiums may rise dramatically, with some states reporting increases exceeding 60%. This alarming trend is largely attributed to the expiration of enhanced federal subsidies and ongoing medical cost inflation. Employees should brace for potential out-of-pocket premiums to increase by over 75%, affecting their financial planning and healthcare access prior to Medicare eligibility. It is crucial for members of the Asbury Automotive Group to proactively evaluate their healthcare strategies and budget accordingly to mitigate the impact of these rising costs. Click here to learn more

'For many Asbury Automotive Group employees, reviewing whether an older life insurance policy still aligns with long-term care needs can be a meaningful step in maintaining a well-structured retirement plan, and thoughtful evaluation is essential.' — Michael Corgiat, a representative of The Retirement Group, a division of Wealth Enhancement.

'Asbury Automotive Group employees can benefit from periodically reassessing older life insurance policies to determine whether a 1035 exchange or updated long-term care strategy may better support their evolving retirement goals.' — Brent Wolf, a representative of The Retirement Group, a division of Wealth Enhancement.

In this article, we will discuss:

How a 1035 exchange works and when it may be appropriate.
Ways long-term care planning can interact with existing life insurance policies.
Key considerations before replacing or exchanging an older policy.

For many people, older life insurance policies—sometimes purchased 10, 15, or even 25 years ago—may no longer align with their current needs. As financial priorities evolve, regular reviews of insurance coverage become important to confirm that everything is still functioning as intended. This becomes even more relevant given the rising cost of long-term care. ¹ For Asbury Automotive Group employees relying on older insurance policies to help cover the costs of long-term care, this matters more than ever.

Notably, if an existing life insurance policy no longer meets your goals, a 1035 exchange could help support future long-term care costs. Regulated under Section 1035 of the Internal Revenue Code, a 1035 exchange permits the tax-free transfer of one life insurance policy to another “like-kind” policy. When certain conditions are met—such as keeping the same owner and generally the same insured on both contracts—this rule allows Asbury Automotive Group employees to shift from an existing life insurance contract to a comparable policy without incurring taxes. ²

Through this exchange, an older policy may be transitioned into a tax-qualified long-term care insurance policy. One option some people consider is a hybrid long-term care policy, which blends life insurance with a long-term care rider. Benefits from these policies are generally paid tax-free up to IRS limits, and the death benefit can be accelerated or accessed to help cover qualified long-term care expenses ³ —an arrangement some Asbury Automotive Group employees may find helpful as they prepare for the years ahead.

There is no universal approach when evaluating a 1035 exchange. Before making changes, it’s important to understand how surrender fees, taxes, or performance differences may influence outcomes. Age and health can also determine whether new coverage is available or advisable. These factors contribute to whether keeping your current policy, exchanging it, surrendering it, or exploring new options may be appropriate.

A hybrid long-term care policy may offer benefits over an older life insurance policy in many situations. Examples include circumstances where loved ones no longer need the death benefit, the existing policy is falling short of expectations, or the gap between the cash value and death benefit has narrowed significantly. Reviewing illustrations that show a policy’s future performance can help you evaluate whether your coverage still supports your long-term goals.

Long-term care planning is an important part of preparing for the future, and maintaining thoughtful family coverage at each stage of life matters. A financial adviser can help you review your current insurance and discuss what type of future coverage may fit your needs. A tax professional can also offer guidance on tax considerations associated with a 1035 exchange.

The Retirement Group can assist you in reviewing your retirement planning, including decisions about life insurance and long-term care, and how these pieces fit into your broader financial approach. For assistance, call us at (800) 900-5867 .