Long-Term Care Insurance Buyer Study
Individuals who purchased long-term care insurance protection in 2010 continued to favor limited duration policies according to research by the American Association for Long-Term Care Insurance the national trade organization. According to data gathered on 153,000 new policies, over half (57.1%) of purchasers selected policies with a Benefit Period of 4-years or less.
"Limited duration policies continue to become the preferred choice of many consumers who benefit from their lower cost and are willing to assume some of the risk for a catastrophic long-term care event," states Jesse Slome, AALTCI's executive director. According to the Association's annual study of new policy sales, 52.2 percent of buyers opted for a Benefit Period of 4-years or less in 2008.
...In addition, newer product design features such as the "shared care" option allow couples to purchase more affordable limited-duration policies and still be protected if one spouse requires care for longer than provided by their own policy." According to the Association, over three-fourths of individual long-term care insurance policies are purchased by couples.
The Association research revealed a slight increase in the age of buyers, a reversal of the trend towards younger buyers. ... In 2010, some 80.7 percent of buyers were under the age of 65 compared to 84 percent in 2008....
The complete findings will be published in the Association's 2011 Long-Term Care Insurance Sourcebook.
Click here to request a copy of the 2011 LTC Source Book