Long Term Care Insurance Difficult To Get After Age 80

According to the U.S. Department of Health and Human Services some 5.5 million Americans were age 85 or older in 2010 with the number expected to grow to 6.6 million in 2020.

“Americans are living long lives but few have prepared for the consequences that come with living into your 80s, 90s and even past age 100,” declares Jesse Slome, executive director of the American Association for Long-Term Care Insurance, the industry trade group.  “When it comes to retirement planning, people get they can’t start preparing and saving for a comfortable retirement at age 60.  But, this is really the first generation to face the reality of living long lives and few have done any preparation for the consequences.”

The nation’s long term care insurance expert notes that after age 80 purchasing long term care insurance can be a daunting, almost impossible task.  “The major insurers have ceased offering coverage to those over age 80 because few people would agree to pay the premiums and even fewer could meet the health qualifications,” Slome explains.  “It is no different than trying to buy home owners insurance after your house has burned down.  You can’t get it.”

Several smaller insurers continue to offer long term care insurance policies to those over age 80.  “You can expect to pay $1,000 or more a month for coverage but considering you may be looking to get over $165,000 in benefits, that’s a considerable value,” Slome explains.  “But even those willing to pay this amount generally can not meet the health qualifications.”

“Long term care insurance is only available to those individuals who can health qualify,” Slome adds.  “This is done so to avoid having those who are in good health subsidizing rates for those who are in poorer health and are the ones most likely to begin claims sooner.”  Slome advises that the ‘sweet spot’ for looking into this protection is between ages 52 and 64.  “Do it before you qualify for Medicare and have access to preventative health screens that may uncover conditions which make it impossible for you to obtain long term care insurance or to pay higher premiums,” Slome concludes.

The organization maintains the nation’s most comprehensive website containing the latest data from Association conducted studies of buyers and claimants with long term care.  To learn more or to connect with one of the Association’s staff for long term care insurance costs, call the organization’s offices at (818) 597-3227 or visit the Association’s website.

Long Term Care Insurance Expert Shares Savings Tip

Roughly eight million American adults relocate to a new state and millions more have residences in two states; both situations that could reduce the cost for long term care insurance according to an expert.

“Rates for identical long term care insurance coverage can vary by 10 percent or more depending on where you reside,” explains Jesse Slome, director of the American Association for Long-Term Care Insurance one of the nation’s leading long termcare insurance experts.  Slome was answering a question for a Tennessee resident planning an imminent move to New York.

“A comparison of costs for a plan providing roughly $165,000 of coverage found that he would pay roughly 13 percent less if he waited to apply in New York,” Slome advised.  “We explained he needed to speak with a knowledgeable expert licensed in both states so he could learn of any important considerations.”

According to the Association while most insurance professionals are licensed only in the State where they do business a growing number of long term care insurance professionals who specialize in the product are available in multiple states.  “A growing number of specialists will consult with people over the phone, something which many prefer compared to an in-home appointment with an insurance agent,” Slome adds.

The Association compared rates for three leading insurers offering policies in multiple states.  “The cost for coverage from one company was about $910-per-year for a 55 year old living in New York but $1,035 for identical coverage for someone in Tennessee,” Slome notes.  “Insurance companies today tend to require some proof of residency,” he adds, “for example, they will base coverage on the state issuing your driver’s license.”

To connect with one of the Association’s professional members who are licensed in multiple states and able to provide free no-obligation long term careinsurance comparisons quotes and information on the topic all the organization’s national headquarters at (818) 597-3227 or visit the Association’s website.