Just over half of all long-term care insurance claims that began in 2018 started with care in the policyholder's home according to a study released by the American Association for Long-Term Care Insurance (AALTCI).
"Today people want to remain in their own home for as long as possible and long-term care insurance enables people to do just that," explains Jesse Slome, director of AALTCI that gathered data from seven leading long-term care insurance companies. "The majority of newly started claims that opened in 2018 provided benefits for care in the policyholder's home."
According to the Association's analysis of new long-term care insurance claims that began during 2018, 51.5 percent of new claims covered home care services. Nearly a quarter (24.5 percent) paid for care in an Assisted Living community and 23 percent started with care in a nursing home. A very small percentage (1 percent) started with other services such as hospice or informal care.
"Consumers mistakenly associate long-term care insurance with care in a nursing home setting," Slome notes. "While that can be the case, the survey which is consistent with prior studies, shows that most people use their policy to enable them to receive the care they want and need at home."
Over 300,000 individuals receive benefits each year from having a long-term care insurance policy according to AALTCI reports. "The industry paid out over $10 billion in 2018 and the amount paid out each year increases as more people with this coverage need assistance," Slome adds. "The coverage needs to be purchased generally before you qualify for Medicare and plans can be made affordable, especially if you tailor benefits to cover the lower cost of home care,"
Headquartered in Los Angeles, CA, the American Association for Long-Term Care Insurance advocates for the importance of long-term care planning. The organization helps consumers connect with knowledgeable professionals who are independent advisors. For long-term care insurance quotes and policy comparisons should visit the Association's website at www.aaltci.org or can call the organization's national headquarters at 818-597-3227.
The American Association for Long-Term Care Insurance and the American Association for Medicare Supplement Insurance advocate for the importance of planning and support insurance professionals nationwide. Jesse Slome, founder and executive director of the organizations, is a leading consumer advocate and author of numerous consumer and professional guides focused on retirement and insurance planning that have been published by governmental agencies and private organizations.