GROUP LTC INSURANCE SALES & CLAIMS PAID UP
Feb. 08, 2008
Copies of the 2008 LTCi Sourcebook will be mailed to all Association members on March 1, 2008. Non-members may purchase a copy by calling the Association at (818) 597-3227. Or, join and receive one with your New Member Package>
There are now nearly 10,000 employer groups offering a form of employer-sponsored long-term care insurance with just over two million Americans insured by these plans," according to research conducted by the American Association for Long-Term Care Insurance and published in the organization's 2008 Sourcebook.
In 2007, the majority of buyers were under age 55 the Association study revealed. "Half of all new policies provided a current daily benefit of between $100 and $200-per-day," Slome reports. "Almost four out of five (79 percent) selected a five year or longer benefit period."
Four of the nation's largest group long-term care insurers paid a cumulative $172.1 million in claims during 2007, a 16.9 percent increase over their benefit payments the prior year according to the Association study.
"Nearly 12 percent (11.9 percent) of those receiving first-time benefit payments from their group long-term care insurance were under age 60," states Slome. "The largest open claim ranged from $340,000 to $458,000 with claimants having received benefits for between six and nine years." The study also found that payments for home care accounted for nearly 40 percent (38.3 percent), while payments for nursing home care equaled 44.5 percent.
The complete study findings are contained in the 2008 LTCi Sourcebook published by the American Association for Long-Term Care Insurance (www.AALTCI.org). Copies are provided to Association members. Non-members can purchase the 48-page publication (Pre-Publication price is $49 through March 1, 2008; $59 regular price) by calling the Association at (818) 597-3227.
2007 Sales By Issue Age
Under 35 9%
75 or Older 1%
Age of Claimant For New Claims Opened In 2007
Under Age 50 3.3%
Age 50 - 59 8.6%
Age 60 - 69 18.5%
Age 70 - 79 31.9%
Age 80+ 37.7%
Percentage of Claims
Home Care 38.3%
Assisted Living 17.2%
Nursing Home 44.5%
Information may be used with the following citation: "2008 LTCi Sourcebook; American Association for Long-Term Care Insurance, Feb. 2008"