Long Term Care

Do you have clients who work full-time, but their companies do not offer them voluntary benefits?

What about those enrolled in Medicare who are currently in good, or even excellent, health?

In both instances, a long-term care (LTC) insurance policy can provide clients with an added measure of security.

An LTC policy can include medical or non-medical assistance.

It offers a range of services and support features that may help your clients as they get older. It can also be bought in anticipation of future needs and challenges.

Here are key LTC policy benefits:

  • Provides a broad range of care
  • Covers assistance with daily activities such as eating, dressing, and bathing
  • May include assisted living and skilled nursing facilities, as well as home health and community organization care

Standard employee medical plans do not cover this type of extended care.

Meanwhile, Medicare will not cover a brief stay in a skilled nursing facility and limited at-home care, except under certain conditions.

Long-term care trends

According to an article earlier this year by the National Association of Insurance and Financial Advisors (NAIFA), some interesting shifts are taking place within the long-term care industry.

One example is so-called “hybrid” products. These combine life insurance or annuities with long-term care benefits and are growing in popularity with consumers.

The NAIFA article references a report prepared by The Society of Actuaries about the potential of several insurance products. Two examples cited in the article are:

  • A term life policy with a benefit up to the age of 65 or retirement – when LTC benefits would kick in
  • A policy allowing tax-free accumulation for future LTC needs, with a piece that can be used to supplement the accrued savings if long-term care becomes necessary

Weighing the factors

Not surprisingly, an LTC policy is less expensive the younger and healthier your client is at the time of purchase.

If he or she has a serious health issue or is a certain age, it could limit their choices. It depends on the criteria established by the carriers AmeriLife partners with.

For example, there are policies that exclude coverage for conditions such as drug abuse and Alzheimer’s disease.

Therefore, it is important you familiarize yourself with the details of our carriers’ LTC offerings prior to broaching the subject with a client.

Even then, before you get into a deep discussion about LTC, it is best to establish if they would be able to pay the premiums for the policy they would like to buy.

AARP cautions this coverage can become more expensive over time. What’s more, if the policyholder stops paying, they could lose everything they have invested.

Agent and advisor resources

In summary, consider how a long-term care plan or hybrid product might help your prospects and existing clients.

New agents, keep in mind LTC is included in the AmeriLife Fast Start incentive program, which is part of AmeriLife University. Your more experienced colleagues can give you insights on how to sell it.

You can also visit the NAIFA Solution Center for information that may aid you in addressing your clients’ potential requirements regarding long-term care insurance, along with their budgetary concerns.

Long Term Care Have You Considered Situations Where Long-Term Care Coverage May Benefit Your Clients?

Do you have clients who work full-time, but their companies do not offer them voluntary benefits?

What about those enrolled in Medicare who are currently in good, or even excellent, health?

In both instances, a long-term care (LTC) insurance policy can provide clients with an added measure of security.

An LTC policy can include medical or non-medical assistance.

It offers a range of services and support features that may help your clients as they get older. It can also be bought in anticipation of future needs and challenges.

Here are key LTC policy benefits:

  • Provides a broad range of care
  • Covers assistance with daily activities such as eating, dressing, and bathing
  • May include assisted living and skilled nursing facilities, as well as home health and community organization care

Standard employee medical plans do not cover this type of extended care.

Meanwhile, Medicare will not cover a brief stay in a skilled nursing facility and limited at-home care, except under certain conditions.

Long-term care trends

According to an article earlier this year by the National Association of Insurance and Financial Advisors (NAIFA), some interesting shifts are taking place within the long-term care industry.

One example is so-called “hybrid” products. These combine life insurance or annuities with long-term care benefits and are growing in popularity with consumers.

The NAIFA article references a report prepared by The Society of Actuaries about the potential of several insurance products. Two examples cited in the article are:

  • A term life policy with a benefit up to the age of 65 or retirement – when LTC benefits would kick in
  • A policy allowing tax-free accumulation for future LTC needs, with a piece that can be used to supplement the accrued savings if long-term care becomes necessary

Weighing the factors

Not surprisingly, an LTC policy is less expensive the younger and healthier your client is at the time of purchase.

If he or she has a serious health issue or is a certain age, it could limit their choices. It depends on the criteria established by the carriers AmeriLife partners with.

For example, there are policies that exclude coverage for conditions such as drug abuse and Alzheimer’s disease.

Therefore, it is important you familiarize yourself with the details of our carriers’ LTC offerings prior to broaching the subject with a client.

Even then, before you get into a deep discussion about LTC, it is best to establish if they would be able to pay the premiums for the policy they would like to buy.

AARP cautions this coverage can become more expensive over time. What’s more, if the policyholder stops paying, they could lose everything they have invested.

Agent and advisor resources

In summary, consider how a long-term care plan or hybrid product might help your prospects and existing clients.

New agents, keep in mind LTC is included in the AmeriLife Fast Start incentive program, which is part of AmeriLife University. Your more experienced colleagues can give you insights on how to sell it.

You can also visit the NAIFA Solution Center for information that may aid you in addressing your clients’ potential requirements regarding long-term care insurance, along with their budgetary concerns.

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