Long-Term Care Insurance
The Evolution of the LTC Sales Strategy

by Mark Doherty
We adapt as times and perceptions change. It’s the nature of things. Sales of products such as long-term care (LTC) are no exception. The industry has been evolving. Linking the benefits of life insurance and long-term care is emerging as the choice for thousands of clients who are looking for a more efficient and effective solution to their need for protection. We need to expand our sales possibilities by adapting and evolving our sales strategies to include these new asset-based LTCi products as well.

Click Here For More

Long-Term Care

updated 4/22/09
LTC Family Care Reimbursement Benefit Rider
Lincoln Financial Group introduced a family care reimbursement benefit rider on its group long-term disability (LTD) insurance product. The Family Care Reimbursement Benefit rider, combined with the increased LTD benefit, allows for a greater benefit total. It offers the following:

• Direct cash reimbursement benefit for each covered family member.
• An expanded definition of a “dependent” to include a spouse and/or elder parent and dependent children.
• Benefits available to individuals who are partially disabled and to individuals who suffer a cognitive impairment, are terminally ill, or suffer the loss of two or more ADLs.
• Up to 100% of pre-disability income through partial-disability employment combined with the LTD benefit payments for the duration of the claim.
• A core benefit that is increased automatically by 10% when an insured suffers a loss resulting in significant cognitive impairment or the inability to perform two or more ADLs. The benefit may be increased up to 100% of pre-disability earnings with the purchase of additional coverage.
• A six-month supplemental benefit for commissioned employees while ramping up their pre-disability commissioned-based income.
• An employee assistance program.

For more information, visit www.LincolnFinancial.com.

updated 4/16/09
Small Business Long-Term Care
John Hancock reduced the minimum participation requirement of employer-funded cases from 10 to seven eligible employees for its multi-life LTC program. The program offers a 5% group discount and simplified underwriting for eligible employees and employer funded spouse/partners. Some employers may qualify for an additional 15% preferred discount. For more information, visit www.manulife.com.

updated 2/4/09
Long-Term Care Insurance Resource Center
SellingLTC.com launched LTCi Café. The free website offers a multi-media experience providing education, sales training, industry news, and tips to help producers grow and expand their long-term care insurance business.

updated 12/17/08
LTC Producer Website
John Hancock upgraded its website (www.jhltc.com) to make it easier for financial professionals to access and order LTC insurance marketing materials, sales forms, and training tools online.|

updated 12/03/08
LTC Insurance
MedAmerica Insurance Company is offering a Partnership-certified version of its “Simplicityii” long-term care insurance. Partnership policies provide an additional level of protection permitting people to protect assets from spend-down requirements under the states’ Medicaid programs.
For more information, visit www.medamericaltc.com.

updated 2/20/08
Long Term Care
Sun Life Financial added an optional LTC rider to its Sun Universal ProtectorPlus product. It can provide up to $20,000 in monthly benefits for qualifying insureds. Premiums are reduced from 3% to 8% for non-tobacco issue ages 35 to 65. For more information, visit www.sunlife-usa.com.

updated 10/31/07
Consumer-Friendly LTC Guide
Insurance agency, National Health Administrators (NHA), released a consumer guide about long term care insurance. The “Long Term Care Buyer’s Guide” is available for download at www.LTC.com. updated 10/24/07
Long-Term Care
MetLife introduced a long-term care insurance solution for every stage of life called “MetLife LTC LifeStage Advantage.” The product can provide an affordable foundation of coverage with the ability to increase coverage as one’s life needs change. For more information, visit www.metlife.com.

updated 9/5/07
Online LTC GA Directory
The American Association for Long-Term Care Insurance launched an online directory of agencies that can help producers start selling long-term care insurance. The national directory lists general agencies (GAs) and managing general agencies (MGAs) that support long-term care insurance sales via an online state-by-state look-up. For more information, visit www.aaltci.org or call 818-597-3227.

LTC Training
The new LTCiTraining.com offers online, classroom, and self-study courses designed to satisfy new NAIC and DRA Partnership producer training requirements. For more information, visit www.ltcitraining.com. updated 8/1/07
Long Term Care Insurance
Genworth Financial is offering an affordable portfolio of long-term care planning solutions called “Cornerstone Advantage.” It has traditional health insurance features, such as co-insurance and dollar deductibles. A 55-year old married consumer can spend as little as $50 a month for coverage, while a 65-year old healthy, married consumer can spend $100 a month. For more information, call 804-662-2444 or e-mail thomas.topinka@genworth.com

Long-Term Care
John Hancock introduced a guaranteed increase option to its “Leading Edge” long-term care insurance policy. Every three years, clients with automatic inflation coverage can increase their policy benefit amount by 10% without underwriting. The option remains regardless of how often a client has declined the offer. Leading Edge is designed for younger, Baby Boomer buyers. For more information, visit www.johnhancocklongtermcare.com.

updated 7/18/07
Simplified Long-Term Care
Prudential Financial introduced a true group long-term care insurance enrollment program aimed at small and mid-size businesses. It is designed to eliminate complicated enrollment and administration. A lifetime maximum coverage up to $328,500 is available to all employees working more than 20 hours a week. It includes eligibility for spouses, parents, grandparents, and adult children. Coverage is adjusted for inflation every three years. It covers in-home or institutional care. For more information, visit www.prudential.com.

Update 5/30/07
LTC Insurance
John Hancock introduced a policy designed to reduce the expense and complexity of buying LTC insurance. The policy is targeted to the Baby Boomer market. It includes inflation coverage linked to the Consumer Price Index. Caregiver support services help younger buyers who are caring for parents or other older relatives. For more information, visit www.johnhancocklongtermcare.com

updated 4/25/07
LTC Program. Penn Treaty American Corp. introduced a platform called ?PersonaLTC,? which is designed to take the complexity out of LTC for the financial advisor and their clients. The program's highlights include the following:

? A simplified application process.
? Customized wealth preservation LTC solutions.
? A national sales specialist support network.

For more information, call 800-362-0700.

Updated 11/08/06
Easy, Affordable LTC Coverage
Mutual of Omaha is introducing Mutual Care long-term care insurance. It offers the most essential coverage without a lot of confusing options, making it affordable and easy to understand. Mutual Care provides long-term care coverage for nursing home care, assisted living facilities, and home healthcare. For more information, call 402-351-3096.

(updated 6/21/08)
Long-Term Care Insurance for Small Employers
MetLife introduced an enhanced long-term care insurance program for small businesses. The participation requirement for employer groups to qualify for a discount program is reduced from 10 approved lives to only three. The “VIP2” multi-life discount program can be offered to small employers as a voluntary or employer paid benefits solution. For more information, visit www.metlife.com.

Long-Term Care
Loyal American Life Insurance Co. introduced its “Security Advantage” LTC insurance product. It is designed to increase the Baby Boomer’s pool of money for use during early claims. The policy's pool of money increases from $365,000 to $1.4 million (at age 85, after inflation benefits are compounded over the years). The rider offers full accessibility to the greatest amount of benefit that the policy is structured to provide, regardless of when the need arises. For more information, e-mail Barry Fisher, Barry@rmgltci.com or call 818-489-1839.

(updated 5/31/06)
LTC and In-Home Care
Interim HealthCare will provide in-home care resources and LTC Financial Partners will provide affordable insurance to pay for the in-home resources. LTC Financial Partners has developed a free program to educate the public on how to plan for long-term care needs. For more information, visit www.InterimHealthCare.com.

(updated 5/23/06)
Early Long Term Care
Republic Marketing Group Inc introduced its Security Advantage long-term care insurance product, underwritten by Loyal American Life Insurance Company of Austin, Texas. (A member of Great American Financial Resources Inc.) It gives Baby Boomers access to 400% more benefits at a reasonable price. The maximum lifetime benefit acceleration rider increases the long-term care pool of money for use during early claims. For more information, visit www.rmgltci.com

(updated 3/15/06)
Long Term Care
United of Omaha is offering “Assured Solutions.” With this product line, professional home care services can match or be paid up to 300% of the nursing home benefit and assisted living can be paid from 50% to 100%. The product line includes two-year to unlimited plans. Zero to 365 day elimination periods (with an optional waiver for home care) can also help control costs. Clients can choose lifetime compound increases ranging from 2.5% to 5% or 10 and 20 year compounding at 5%. For more information, contact American Independent Marketing at 800-672-7202 or visit www.AIMforLTC.com.

Long Term Care
Securian Financial Group Inc. is launching “LTC Guard.” The long-term care insurance product is available through Minnesota Life. The competitively priced LTC Guard features one pool, which pays for at-home care on a reimbursement basis (It can be provided on an indemnity basis for a small additional premium). The other pool indemnifies assisted-living or nursing-home care. LTC Guard includes a lifetime payment basis or 10-payment and 20-payment premium options. A joint-life premium discount is also available. For more information, visit www.securian.com.

(updated 3/3/06)
Long Term Care Information
John Hancock has created a new consumer Website to help make long term care insurance planning easier. The company has also developed a new line of marketing materials to help advisors talk to consumers about their long term care needs. The new Website, which is approved in 41 states, presents key long-term care topics in clear and concise terms, featuring user-friendly interactive tools. It includes an interactive map of the United States, which provides the current cost of care across the country. The company's marketing materials have been redesigned to focus on a few key messages including how people can look to long-term care insurance to preserve their independence, protect their retirement, and allow them to enjoy time with family members rather than depending on them. It also explains how LTC insurance can provide care planning, advice, and resources to help policyholders and their families. For more information ww.johnhancocklongtermcare.com.

(updated 10/07/05)
LTC Guide
The Long Term Care Outreach & Education Program is offering free information about long-term care insurance in print, online, and by phone. To request a free guidebook, consultation, and other help, visit www.eranova.com.

(updated 9/02/05)
Easy-to-Understand LTC Products. John Hancock introduced ?SimpleChoices? -- LTC insurance packages, representing some of John Hancock's most popular LTC insurance feature combinations. A client illustration system supports the SimpleChoices options. For more information, visit www.jhancock.com.

updated (8/05)
LTC Product for Group Health Agents. Later this year, John Hancock is launching a Manulife-branded niche long-term care (LTC) insurance product that is designed to be sold by agents who market group health insurance. Brokers will be able to quote and enroll the LTC insurance product automatically alongside their medical products. The product is designed for group benefit brokers who are comfortable marketing group medical plans and want a uniquely designed worksite LTC insurance product with straightforward underwriting and eligibility requirements, said Barry Eldridge, president of Individual Commercial Brokerage (ICB). ICB helped develop the product with Avon Long Term Care Leaders (ALTCL). ALTCL is a Manulife company that became part of John Hancock Long Term Care Insurance following the merger between John Hancock and Manulife. For more information, call (617) 572-6390.

Multi-Life Product. United of Omaha is developing the individual and multi-life long-term care product with GoldenCare USA and American Independent Marketing. State product filings are scheduled to start this month. While awaiting state approvals, the marketing organization will offer Mutual of Omaha's long-term care product and other product lines. For more information, visit www.mutualofomaha.com or www.aimforltc.com.

Simple LTC Solution. Penn Treaty American Corp. launched of Simple LTC Solution.? It is intended to cover the basics of home and facility care services without the numerous add-on benefits that clients may not need or want. The client only needs to make two selections -- a daily benefit amount and inflation coverage. The product also includes a 20% co-payment feature frequently seen in other forms of health insurance. For more information, call 800-222-3469.

Discounted Group LTC Insurance. Members of approved employer groups and associations can purchase long-term care insurance from the Guardian at a 10% permanent premium discount through Berkshire Life. The following organizations may qualify:
- Any business entity with three or more employees.
- State, regional, county, or municipal associations with 100 or more members.
- Associations, labor unions, credit unions, and trade or professional organizations with 10 or more members.
For more information, call (212) 598-1554 or visit www.GuardianLife.com.

(6/29)
United of Omaha is developing individual and multi-life long-term care products with GoldenCare USA and American Independent Marketing. State product filings are scheduled to start this month. While awaiting state approvals, the marketing organization will offer Mutual of Omaha's long-term care product and other product lines. For more information, visit www.mutualofomaha.com or www.aimforltc.com .

(updated 5/05)
LTC Guide. MetLife Mature is offering the guide, ?Long-Term Care Insurance: The Essentials.? The free, 25-page booklet explains long-term care and addresses what long-term care insurance policies cover, what costs are entailed, who needs them, and how one becomes eligible for benefits. For more information, call (203) 221-6580 or e-mail MatureMarketInstitute@metlife.com.

(updated 4/05)
LTC Coverage Choices. Kanawha Insurance Company introduced SecureFuture. Key features include: Indemnity for the base policy, optional home healthcare, informal care benefit, benefit access feature, stay at home benefit, alternate plan of care, shared-care rider, various discounts, and lifetime, 10-year pay, pay to age 65 and five-year pay options. For more information, call (913) 451-2990 jmartellaro@ccgcorp.com.

Group LTC. UnumProvident unveiled a group long-term care product that gives employers two policy options -- indemnity or reimbursement. For more information, call (800) 421-0344 or visit www.unumprovident.com .

( updated 10/26)
Streamlined Application. Genworth Financial launched the Genworth Application Wizard. It bundles all relevant application forms online, reducing paperwork for agents. Applications can be processed faster due to the increased accuracy of the forms and a reduction in the number of ?re-work? requests. For more information, call (888) 436-9678.

LTC Dividend. New York Life introduced a dividend, which amounts to a premium reduction on some of its in-force business. The announcement came on the heels of the worst sales results for the industry last year in at least 20 years, according to LIMRA. Premium increases on in-force business by several writers led to last year's sales slump, though many of the industry stalwarts have never raised rates. But, premium reductions on in-force business have been rare, and perhaps unprecedented, in the industry. New York Life's dividend will be small -- 0.5% -- and will be paid in March in the form of lower premiums on its newest product, LTCSelect Premier, for policies in force at least three years. For more information, call (212) 576-7000.

LTC Rider on UL Policy. John Hancock introduced the new LifeCare Benefit Max

(LMAX) rider on Protection UL, its lapse-protection universal life policy for clients who want low-cost, guaranteed permanent insurance protection.

LMAX works with Hancock's LifeCare Benefit rider to double the pool of money available for potential long-term care expenses. Life Care Benefit, when combined with the base contract, allows policyholders to use their death benefit for long-term care expenses, if they arise. LMAX extends benefits for long-term care after the policy's full death benefit has been accelerated. With the LifeCare Benefit and LMAX rider, an additional amount equal to the policy's initial death benefit will be available for long-term care expenses. John Hancock Financial Services Inc. is a subsidiary of Manulife Financial Corporation. For more information, visit www.manulife.com.
_______________
(updated 10/26)
Credit card payment option. John Hancock enhanced its

long-term care insurance offering with a new credit card payment option. New policyholders will be able to charge their monthly or quarterly long-term care insurance premiums to MasterCard or Visa credit cards. The credit card payment option applies to Hancock's long-term care insurance products, Custom Care II and Essential Care II. For more information, call 800-795-9767 or visit www.jhancock.com.
_______________

Universal Long Term Care . New World Marketing introduced universal long-term care. It provides LTC protection and access to the account. It is designed to appeal to younger customers who are hesitant to drop premiums into a traditional product. For more information, call Robert S. Cauthen, Jr. at (713) 572-4158 or e-mail Rcautnwm@aol.com.
–––––––––––

 

E-mail us us your companies' product announcements.

Go to www.calbrokermag.com to find out more about our family of publications.