LTC Insurance Claims Over $7.5 Billion

Read Time: 3:38
Published: Feb 24th, 2015
LTC Insurance Claims Over $7.5 Billion
Article Updated:May 2nd, 2020

Since this article was posted new numbers have been published and it shows that over $11 billion in Long-Term Care Insurance benefits were paid in 2019. Read the updated article by clicking here.

********

Total Long-Term Care Insurance benefit payments increased by five percent from $7.5 Billion paid the prior year according to a report published by the American Association for Long-Term Care Insurance, a national trade group.

Feb 24, 2015 … The American Association for Long-Term Care Insurance (AALTCI) announced in press reports today that the nation’s Long-Term Care Insurance companies paid a record $7.85 billion in claim benefits in 2014 according to a just-released report.

“Total Long-Term Care insurance benefit payments increased by five percent from $7.5 Billion paid the prior year.”

 Jesse Slome, director of the AALTCI, the national trade group

The organization reported that insurers paid $6.6 billion in 2012.

“More and more people have Long-Term Care Insurance policies, and more people are using the benefits of these plans. Long-Term Care Insurance has become an essential way for people to protect their retirements, and these numbers show this fact. This is why affordable Long-Term Care Insurance has become an important part of a family’s retirement plan.“

 Matt McCann, a nationally recognized specialist in Long Term Health Care

“Americans are living longer and the consequence is more people needing Long-Term Care.”

“Contrary to what most people think, the vast majority of Long-Term Care insurance pays for care in the home or in assisted living communities, not in skilled nursing homes.”

Jesse Slome

Slome added that according to AALTCI research, half of all newly opened Long-Term Care Insurance claims paid for care in the home.

“Consider Long-Term Care as nursing home avoidance protection.”

Jesse Slome

McCann says these numbers reflect the need to have a plan which addresses the physical, emotional, and financial burdens Long Term Health Care places on loved ones. He notes that some people think health insurance or Medicare(which is health insurance for those 65 and older) will pay for this type of care. McCann notes that this is not the case.

Today's adult, who is trying to save money for their own retirement in their 401k's and IRA's, is seeing how the expenses of long-term health care are impacting their older parents. Generally, health insurance and Medicarepay only a handful of days of skilled care. Most long-term health care is custodial in nature, not skilled. This means a majority of the cost comes out-of-pocket unless you have a Long-Term Care insurance policy,"

Matt McCann 

“People underestimate life expectancy.”

“Few adults in their 50s or 60s are prepared for the financial consequences of their longevity. Longevity planning is especially important today for both married couples as well as single men and women.”

“You really can’t start your retirement savings plan at age 60 and you can’t start your long-term care planning after age 70 because you won’t have as many options.”

Jesse Slome

He points out that insurance companies today will take a close look at your health history prior to offering you coverage.

The guarantee of insurance that we hear about with health care coverage (“Obamacare”) does not pertain to Long-Term Care insurance.” 

Jesse Slome

McCann suggests planning should happen well before you are age 65.

“Most of the people I speak with are 45 to 65 years old. They discover that Long-Term Care Insurance is very affordable, especially if they work with a true specialist who understands how these plans work and get used at the time of claim. This is part of their retirement plan so they can protect their 401k’s, IRA’s, and other assets.“

Matt McCann 

McCann notes the US Department of Health and Human Services says that if you reach the age of 65, you will have a 70% chance of requiring some form of long-term health care before you pass-away.

Matt McCann is recognized as a leading long-term care (LTC) specialist. Since 1998, Matt has been a national leader in finding solutions for the physical, emotional, and financial burdens LTC places on American Families. He has been recognized by the American Association for Long-Term Care Insurance as one of the top specialists in the country.

You can follow Matt McCann on Twitter: by clicking here.

About the Author

An LTC News author focusing on long-term care and aging.

Editor's Note

Don't place the full responsibility of either caregiving or managing your care on the shoulders of your family members. Often, the caregiving role falls to a daughter or daughter-in-law who must balance their career, family, and other responsibilities. It is not easy. There is a better solution.

Affordable Long-Term Care Insurance gives you access to your choice of quality care in the setting you desire without placing a burden and stress on your loved ones. Plus, they protect your income and savings. There is no need for your family to go into crisis management when you take the initiative to safeguard assets and ease family stress with an affordable Long-Term Care Insurance policy.

Cost of Care Calculator 

The key is to plan before you retire when premiums are very affordable. Start your research by finding the current cost of care where you live by using the LTC NEWS cost of care calculator. Use this tool by clicking here

 Always use an experienced Long-Term Care Insurance specialist. Find one by clicking here.

The financial costs and burdens of aging requires a plan. Be it your health, future retirement strategy, family issues, and more, people desire information on how to better prepare for the next phase of life.

Get Published on LTC NEWS

Get something said so America hears. You can write a story for publication on LTC NEWS. It should fit our target audience of adults 40-70.

Topics can include stories on health, long-term care, aging, retirement planning, caregiving, and more. You can even promote yourself, your business, and your website or blog. It must have editorial content exclusive for LTC NEWS and can't be just an advertisement. It can include links to other sites, and you can share the article link once published on your website or social media.

Email your story idea or article to: newsroom@ltcnews.com or click here.

 

LTC News Contributor James Kelly
James Kelly

Contributor Since
August 21st, 2017

LTC News author focusing on long-term care and aging.

About the Author

LTC News author focusing on long-term care and aging.

Work With a Long-Term Care Specialist
Work With a Trusted Long-Term Care Insurance Specialist
  • Has substantial experience in Long-Term Care Insurance
  • A Strong understanding in underwriting, policy design, and claims experience.
  • Represents all or most of all the leading insurance companies.
Find a Trusted Specialist
Table of Contents
Connect With a Long-Term Care Specialist

Find Affordable Insurance and the Right Coverage.

LTC News Trusted & Verified
Learn More
Search Results
17 results found for "patient care"