Long Term Care Insurance in the United States

By Michael Lustig

Provides an in-depth examination of long-term care in the United States with an emphasis on the regulations and policies that govern it and the types of long-term care insurance policies available and their benefits. This textbook provides a wealth of information regarding long-term care, including public policy regarding long-term care and its benefits and options. Long Term Care Insurance in the United States is a good source of information both for those new to long term care as well as a great review for those who are the more experienced in the field.

• Language: English
• Publisher: Michael Lustig
• Release date: Aug 5, 2011
• ISBN: 9781933891699

Michael Lustig

Michael Lustig is a graduate of the University of San Diego, California and a former Professor at California State University at Pomona and Immaculate Heart College (Los Angeles). He has been a California Real Estate Broker and the Owner and President of Real Estate License Services, a California real estate and insurance licence school, since 1978, offering state-approved license courses in 47 states and the District of Columbia. He is the author of 35 books on real estate and insurance topics.

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Long Term Care Insurance In The United States

C.E. CREDITS

CAL-STATE EXAMS

5059 Newport Avenue, #209

San Diego, CA 92107

Telephone: [phone]

Smashwords Edition

Copyright © 2007-1991 REAL ESTATE LICENSE SERVICES, INC. Copyright registered. All rights reserved. No part of this material may be reprinted, reproduced, transmitted, stored in a retrieval system, placed in a computer or on the Internet, or otherwise utilized, in any form or by any means electronic or mechanical, including photocopying or recording, now existing or hereinafter invented, nor may any part of this course be used for teaching without permission from the copyright holder. CAL-STATE EXAMS is a division of REAL ESTATE LICENSE SERVICES, INC., holder of the registered copyright.

TABLE OF CONTENTS

1. Background

2. What is Long-Term Care?

A. Nursing Home Care

B. Community Based Long-Term Care

3. Who Needs Long-Term Care?

4. How Much Does Long-Term Care Cost?

5. Who Pays For Long-Term Care?

A. Private Individuals

B. Medicare

C. Medicare Supplement Insurance

D. Medicaid

6. Reasons to Consider LTC Insurance

7. Long-Term Care Insurance Risk Factors

8. Types of Available LTC Policies

A. Federally Tax Qualified LTC Insurance Policies

B. Non-Tax Qualified LTC Insurance Policies

9. Benefit Eligibility Triggers

10. How Benefits Are Paid

A. Expense-Incurred Method

B. Indemnity Method

11. When Do Benefits Begin?

12. Long-Term Care Policy Options

A. Inflation Protection

1. Automatic Increases

2. Periodic Increases

B. Waiver of Premium

C. Nonforfeiture Benefits

D. Refund of Premium Benefits

E. Premium Refund at Death

F. Restoration of Benefits

G. Bed Reservation Benefit

13. Coverage Qualification

14. How Is The Premium Determined?

15. Termination of Long-Term Care Policies

A. Guaranteed Renewable

B. Noncancellable

16. Protection for Long-Term Care Policies

17. What LTC Policies Do Not Cover

A. Pre-Existing Condition Waiting Period

B. Mental and Nervous Disorders

C. Family Members

D. Standard Policy Exclusions

18. Alternatives to LTC Coverage

A. Accelerated Death Benefit

B. Viatical Settlement

C. Life Settlement

19. Glossary of Terms

20. Bibliography

1. Background

The population of Americans who require, or are at risk of requiring, help with personal care and other daily functional tasks is growing rapidly. This is primarily due to the growth rate of the elderly population – especially those aged 85 and older. The proportion of the elderly requiring personal assistance ranges from 9 percent of those aged 65 to 99 to well over 50 percent of those aged 85 and over (U.S. Census Bureau, 1998). Projections are that between 1990 and 2000 alone, the U.S. population aged 65 and older will grow by 12 percent, and the population aged 85 and older by 50 percent. This population growth among persons at high