Long Term Care Insurance Expert Shares Savings Tip

Roughly eight million American adults relocate to a new state and millions more have residences in two states; both situations that could reduce the cost for long term care insurance according to an expert.

“Rates for identical long term care insurance coverage can vary by 10 percent or more depending on where you reside,” explains Jesse Slome, director of the American Association for Long-Term Care Insurance one of the nation’s leading long termcare insurance experts.  Slome was answering a question for a Tennessee resident planning an imminent move to New York.

“A comparison of costs for a plan providing roughly $165,000 of coverage found that he would pay roughly 13 percent less if he waited to apply in New York,” Slome advised.  “We explained he needed to speak with a knowledgeable expert licensed in both states so he could learn of any important considerations.”

According to the Association while most insurance professionals are licensed only in the State where they do business a growing number of long term care insurance professionals who specialize in the product are available in multiple states.  “A growing number of specialists will consult with people over the phone, something which many prefer compared to an in-home appointment with an insurance agent,” Slome adds.

The Association compared rates for three leading insurers offering policies in multiple states.  “The cost for coverage from one company was about $910-per-year for a 55 year old living in New York but $1,035 for identical coverage for someone in Tennessee,” Slome notes.  “Insurance companies today tend to require some proof of residency,” he adds, “for example, they will base coverage on the state issuing your driver’s license.”

To connect with one of the Association’s professional members who are licensed in multiple states and able to provide free no-obligation long term careinsurance comparisons quotes and information on the topic all the organization’s national headquarters at (818) 597-3227 or visit the Association’s website.

Long Term Care Insurance Growth Anticipated As HSAs Gain Acceptance

A new report estimates that Health Savings Accounts (HSAs) have grown to over $14 billion in assets and the number of HSA accounts has increased to nearly 7.1 million.

“It takes a while for any new tax favored benefit to gain acceptance,” says Jesse Slome, executive director of the American Association for Long-Term Care Insurance.  “As more people have balances in their HSAs, we anticipate that more will use the funds to pay for long termcare insurance.”

According to data researched by Devenir an investment firm that specializes in providing investment options for HSAs, the average account balance for the first half of 2012 grew to $1,996 an approximately 10 percent increase over the prior year.  “Few people are aware that long term care insurance premiums may be paid from a Health Savings Account up to the IRS limits set each year,” Slome one of the nation’s leading long term care insurance experts explains.

For 2012 the Internal Revenue Service has established a limit of $350 for an individual age 40 or less and $660 for someone who is more than 40 but not more than 50.  “The average age when individuals start buying long term care insurance is mid 50s according to Slome one of the nation's leading long term care insurance experts.  “At younger ages the costs are lower and using a tax-advantaged HSA account to pay for some or all of the coverage is a tax-smart planning idea,” Slome acknowledged.

The Association notes that in recent years more small and mid-sized businesses have been offering long term care insurance to their employees on a voluntary basis.  “I’ll bet few know they can have employees use their HSAs to pay for this benefit,” Slome notes.  “But over time awareness will grow as will the number of people taking advantage of this protection.”  The growth of long term care insurance sales to small businesses is attributed to special tax incentives now being offered as well as access to discounts and some health underwriting concessions that vary from one insurer to another.

For more information, connect with a member of the American Association for Long-Term Care Insurance.  The organization serves the public by educating Americans about the importance of planning for the risk of needing long term care.  For additional information on long term care insurance costs or to connect with a specialist member of the Association call (818) 597-3227 or visit the organization’s website.

Expert Shares Ways To Lower Long Term Care Insurance Costs

Many people have the mistaken impression that long term care insurance is costly declares one of the nation’s top experts in the field.  They simply are not aware of the simple techniques used by most consumers today to make the cost affordable.

“It’s smart to partially self insure,” explains Jesse Slome, executive director of the American Association for Long Term Care Insurance, the national organization that advocates for long term care.  “Using some your own money to pay for needed care is a way many people plan as a way to save on premiums.”   In this way you have a plan in place that will cover a portion of your care, at a smaller up front cost.

The longterm care insurance expert recommends consumers looking to save adjust the Elimination Period, or the waiting period from the point of claim until the policy begins to pay out benefits.  “Most people have a deductible for their car or health insurance,” Slome says.  “Most people today choose a 90-day deductible according to Slome.

According to Slome, most people are unaware that they will save by being in good health

when they apply for long term care insurance coverage.   Maintaining a healthy weight, having regular doctor visits and a good history and can significantly save on your policy.  “Best of all, once an insurer approves you for the good health discount, you never lose it,” Slome adds.

Be certain to ask the insurance professional what other discounts you may qualify for and be aware that they can vary from one insurer to another.  For example, Slome points out that you no longer need to be married or even live in the same household to receive discounts with family members or domestic partners.   A copy may offer a discount when you apply at the same time with another member of your family even if you live across the country.  Another insurer extends discounts to life partners as well as same sex couples.   “These discounts vary,” Slome acknowledges, “so it really pays to work with a knowledgeable long term care insurance specialist who has access to policies from multiple companies.”

The American Association for Long-Term Care Insurance is headquartered in Westlake Village, part of Los Angeles California, and serves the public by educating Americans about the importance of planning for the risk of needing long term care.

For additional information on long term care insurance costs or to connect with a specialist member of the Association call (818) 597-3227 or visit the organization’s website.

Long Term Care Insurance Video Addresses Essential Consumer Questions

The failure of healthcare reform to address the likely risk of needing costly long term care has driven an increasing number of consumers to seek other alternatives. 

“Obamacare dropped the planned long term care insurance program,” explains Jesse Slome, executive director of the American Association for Long-Term Care Insurance.  “Neither political party seems to have any desire to address the approaching tsunami of aging Americans that are going to need care.”

As a result, the organization has stepped up its consumer awareness and educational efforts.  “First, individuals need to understand the issue they face and the real choices they have,” Slome explains.  “We educated a generation that dependence on company pension plans was no longer a viable option and that saving for retirement through a 401k or IRA plan was smart and necessary.  Now we need to do the same for long term care.”

The Association director acknowledges that they are many misconceptions regarding long term health care insurance.    “Most people don’t even know when to start planning or how to begin the process of thinking about their options.   To assist consumers the organization has just posted several new educational videos.  The newest video just added to the organization’s online library is called Long Term Care Insurance 101 addresses why individuals should be interested.  “We want people to understand the important basics before they begin even considering next steps,” Slome says.

Members of the national association are offering free education and no-obligation long term care insurance costs for policies from leading insurance companies.  “We have members in all 50 states committed to helping individuals,” Slome explains.  “If someone between the ages of 50 and 65 is interested, they will take the time needed to explain how this insurance works and, if there is interest, to prepare free cost quotes.”

For additional information or to hear from a member of the Association call the organization’s national headquarters in Los Angeles at (818) 597-3227 or visit their website www.aaltci.org where consumers can also access a variety of free online consumer information guides.