Specialist, LTCi, DI, Annuities, Life, Designs In Life, LLC, Utah
Long-term care insurance can cost anywhere from about $1000/year for an individual base plan all the way up to $14,000/yr or more for a fully loaded policy, per person. Factors that determine cost include, but are not limited to:
1. Health and health history (one might pay more if not in good health, or be declined)
2. Ability to pay the premium, knowing that premiums can be increased over time.
3. Whether they look at long-term care insurance as paying for as much of care costs as possible or if they are simply looking to offset a specific amount from an insurance company and pay for the rest themselves.
4. Male or female - rates have been "unisex", but will soon be gender specific in all states, except, Montana. Based on claims experience, men will pay less, women will pay more.
5. Age - Premiums are lower the younger one applies and is successfully underwritten
6. The Insurance Company - major carriers that intend to stay in the business charge higher premiums than smaller carriers that are testing the waters or are trying to get market share, knowing that they can apply to states to increase premiums later.
7. Bells and whistles - Benefit rich coverage costs a lot more than a base plan of insurance; riders can increase premiums by more than 150%.
8. Location - the actual cost of care varies across the country, so if one intends to move to a place that has a lower cost of care, they might not buy as much coverage now.
9. Pre-application research - the applicant may save money by calling around to various home care services and facilities to find out what the range of costs is in the area in which they intend to spend their retirement years.
10. Married or single - carriers provide discounts on premium to those that are married or in a domestic relationship (usually 3 years minimum).
11. Employer-paid coverage, either in part or in whole, is a great way to get LTCi coverage and save money. Typically, the policy is portable, as well.
12. Being an informed consumer - long term care insurance is complex because it promises to cover someone in a complex and unpredictable situation. Most states and the National Association of Insurance Commissioners (NAIC) publish consumer brochures that provide valuable planning information. Knowing what to expect can help a person design their coverage more intelligently and for less cost.
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1. Health and health history (one might pay more if not in good health, or be declined)
2. Ability to pay the premium, knowing that premiums can be increased over time.
3. Whether they look at long-term care insurance as paying for as much of care costs as possible or if they are simply looking to offset a specific amount from an insurance company and pay for the rest themselves.
4. Male or female - rates have been "unisex", but will soon be gender specific in all states, except, Montana. Based on claims experience, men will pay less, women will pay more.
5. Age - Premiums are lower the younger one applies and is successfully underwritten
6. The Insurance Company - major carriers that intend to stay in the business charge higher premiums than smaller carriers that are testing the waters or are trying to get market share, knowing that they can apply to states to increase premiums later.
7. Bells and whistles - Benefit rich coverage costs a lot more than a base plan of insurance; riders can increase premiums by more than 150%.
8. Location - the actual cost of care varies across the country, so if one intends to move to a place that has a lower cost of care, they might not buy as much coverage now.
9. Pre-application research - the applicant may save money by calling around to various home care services and facilities to find out what the range of costs is in the area in which they intend to spend their retirement years.
10. Married or single - carriers provide discounts on premium to those that are married or in a domestic relationship (usually 3 years minimum).
11. Employer-paid coverage, either in part or in whole, is a great way to get LTCi coverage and save money. Typically, the policy is portable, as well.
12. Being an informed consumer - long term care insurance is complex because it promises to cover someone in a complex and unpredictable situation. Most states and the National Association of Insurance Commissioners (NAIC) publish consumer brochures that provide valuable planning information. Knowing what to expect can help a person design their coverage more intelligently and for less cost.