If long term care insurance (LTC) is not on your holiday shopping list, you may want to add it before the end of 2012 -- particularly if you are a woman, according to a release.
Rates for females are forecast to increase from 35 percent to 40 percent by second quarter of 2013, so adding LTC now to your plan for income and asset protection makes good financial sense, say industry experts.
"Long term care continues to be a major risk for people, and yet many have put off purchasing LTC insurance to cover such things as nursing home care because of instability among carriers," said Danny Mensh, president of
"If there ever was a time to go ahead and do something," Mensh continued, "now would be that time. It's going to cost a married couple significantly more money for the same contract and same benefits once those rates change to become gender specific."
Why the female rate increases? Simply put, Mensh said that
women live longer and will use more LTC insurance as their health deteriorates. "We know that when looking at males and females who reach age 65 and are healthy, statistics show females are living into the mid to late 80s vs. males, who are living a few years less," Mensh said. According to the
When looking at LTC insurance, it's wise to choose a company that is looking to stabilize pricing and stay in it for the future. "Many companies have chosen to stop selling new LTC insurance policies or have sold their LTC business because they had vastly under priced it to gain a competitive edge," Mensh said. "The carriers committed to the market are increasing rates, becoming more stringent with in- home interviews and telephone interviews, and possibly requiring physical exams in the future. These are all pretty reasonable measures to take if you want your premiums to stay fairly consistent."
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