Long-term care insurance rates become gender based
Recent news from the long-term care insurance industry suggests that single, divorced or widowed women might want to look into LTC insurance now to lock in pricing for their future needs. Data compiled by the American Association of Long-Term Care Insurance (AALTCI) indicates that women are more likely to use their benefits than men. The association’s research notes that of benefits claimed, nearly two-thirds are claimed by women.
With that in mind, Jesse Slome, executive director of the AALTCI, said in a release: “As the amount of claims paid continues to grow each year, the need to charge appropriate rates linked to real risk is vital to making sure adequate funds are available to pay future claims.”
To date, LTC insurance offered premiums based on a unisex pricing system. Slome suggests that women take advantage of those rates before gender-based pricing is instituted. “They not only have an opportunity to save but they typically don’t have family members who can provide free care should a need for long-term care arise,” he says.
Couples should also consider locking in the unisex rates.
Sandra Hoban was on I Advance Senior Care / Long-Term Living’s editorial staff for 17 years. She is one of the country’s longest-serving senior care journalists. Before joining Long-Term Living, she was a member of the promotions department at Advanstar Communications. In addition to her editorial experience, Sandi has served past roles in print and broadcast advertising as a traffic and talent coordinator.
Topics: Executive Leadership , Finance , Risk Management