Negotiating For Your Long Term Care Insurance Premium

Negotiating for Your Long Term Care Insurance Premium


Merian Eksteen

If you followed the 3 in 4 Need More campaign for long term care (LTC), you would ve learned something from elder care specialist, Dr. Marion Somers, who said long term care insurance premiums are actually what people negotiate for. So it s time to drop the idea that long term care insurance (LTCI) is only for the wealthy.

By studying the nature of LTCI you will you realize that this type of product is not for the rich because anyone earning more than half a million a year can naturally afford to cover his LTC expenses. LTCI policies are designed for middle-class Americans who could experience financial difficulties someday when they begin to require care. Many average families, however, are hesitant to inquire about a potential policy because they might be influenced into buying even though they are not sure that they can maintain the product s annual premium.

Every year, the number of uninsured individuals goes up and the reason behind this is not because no one cares about his future health care anymore. Everybody actually does care but ongoing reports of increasing LTCI premium rates make them feel hopeless. Some of these uninsured folks are thinking of turning to Medicaid for help while others say they still have their families to support them. Unfortunately, Medicaid only provides limited coverage while one s family has only so much to give before their nest egg dries up.


Anyone is capable of getting the best LTC someday if he starts planning for it today via LTCI. Contacting a licensed LTCI agent who is well-versed in the LTC industry is a good idea as he can show the ropes.

Keeping Long Term Care Insurance Premiums Affordable

LTCI specialists have a common advice to the public and this is to purchase their LTCI policies at an early age. These professionals are aware that most people are postponing their policies thinking that this will spare them from years of expensive premium. Unfortunately, applying for a policy 10 years before actually requiring care will cost more as insurance companies will naturally increase the premium of those individuals who are at risk of immediate care.

Insurance companies allow younger applicants more leeway to negotiate for a lower premium rate because these firms are much aware that they won t be dealing with benefit claims anytime soon. However, it s not enough to secure a cheap policy without giving any attention to what is stipulated on it. It is always best to seek guidance from an LTCI specialist given the fact that a wide range of policies with unique features are being sold in the market. A person who has never had any experience in the LTCI industry would definitely need orientation from an expert.

Policy buyers should learn how to compute their maximum benefit amount, maximum benefit period, as well as how to determine their elimination period and inflation protection rate among others, as all these things will affect their coverage and its annual premium.

There continues to be issues on long term care insurance premiums but these should not affect people, not to mention discourage them from planning their future. If they allow negative reports or rather hearsays get into their system they could end up facing a financial disaster.

Merian Eksteen is a writer specializing in personal finance. You may visit

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