When it comes to long-term care insurance, a lot of people get confused when shopping around for a policy. That’s because they may realize that the rates vary so tremendously from one insurance provider to the next. Also, if they are shopping online and enter some basic information, they may have made a mistake and entered the wrong dates and gotten one rate that was completely different from another provider, but when they corrected their age, there was no consistency from company to company.
In other words, one insurance company may be offering the best premiums for a 55-year-old looking for long-term care insurance, but at 65 years of age, they are one of the highest priced policies.
What causes these rate variations?
Each insurance company sets their own rates and some have certain sweet spots they want to focus on most. For example, one insurance company may see that 55-year-old individuals are their prime target for long-term care insurance policies. As a result, they will want to make their rates as attractive as possible to get them into a policy with as little resistance as possible.
Another insurance company, on the other hand, may see 65-year-olds as their bread and butter, so to speak. So, they will focus on making their rates for that age group the most attractive. In order to make up the difference, they may have to raise their rates for other age groups, and that could be one of the reasons why there are so many rate variations.
Another reason for rate variations may involve the length of the policy, how much it covers, how long it pays out for, and so forth. Some individuals look for long-term care insurance for themselves and a spouse. Others may only be looking for one of these policies for themselves individually.
There may be some shoppers looking for a long-term care insurance policy that would pay out for only two years maximum while others could be looking for five years, if they can get that type of policy.
Also, maximum daily reimbursements or payments can be adjusted, which could affect the monthly premium on the policy.
Focus on what your family needs first.
Instead of focusing on the premiums or cost of a long-term care insurance policy upfront, focus instead on what would be best suited for your family and its needs in the future. As long as you have a policy that is going to protect you and your assets if the time comes when one of the covered members requires long-term care, is the most important factor when you begin shopping.
If you or a loved-one are considering Long-Term Care Insurance Premiums in Rancho Penasquitos CA, please contact Steve Elliott at Capstone Insurance for an honest discussion about your future and your options. Call today (858) 350-3161.
I work with all the major insurance companies and my objective is to help my clients determine if long term care protection makes sense for them and if so, to help them shop the market to find the best company at the best rate
I specialize in Traditional Long Term Care Insurance as well as Hybrid Long Term Care Plans which are either a combination of Life Insurance and Long Term Care or an Annuity Plan with Long Term Care
I’ve been specializing exclusively in Long-Term Care Insurance Planning for over 21 years.
Steve was recognized as a 2003 Long Term Care Expert of the Year at The National Long Term Care Producers Summit
2006 was awarded Senior Market Advisor of the Year Finalist by Senior Market Advisor Magazine
National Speaker for Numerous Industry Meetings
Awarded Nations Top 10 Agent 8 times by the American Association of Long Term Care Insurance
Author of numerous published articles on long term care planning