The University of St. Thomas’ (UST) employees and their families have access to a great, voluntary long-term care insurance (LTCI) offering. This offer is available to them through April 14. (See the UST press release on this by clicking here).
This offering is from one of the leading LTC insurers in the world. However, if you are considering enrolling in this program and would like guidance in this decision, we would like to offer our services to help you evaluate whether this group offering is your best option or whether you might find comparable or better coverage in an individual policy.
We want to help you determine if the plan offered by your employer is a great deal or a costly one. After an individual analysis of the UST plan vs. individual coverage, we will be able to tell you if the UST offering is your best bet!
Group coverage vs. individual coverage:
With other types of insurance, employer-offered coverage can often cost less than a policy you could purchase on your own. That is not always the case for long-term care insurance. By doing comparison shopping, you might find that you are able to get equal or even better coverage for less money.
When is employer-sponsored coverage a better deal?
- If you have health conditions that may otherwise make you ineligible for individual coverage, or if you would receive substandard ratings (and the higher premiums that would come with that coverage).
- Extended family members that might otherwise be uninsurable may also have access to coverage and underwriting concessions.
When might individual long-term care insurance be better?
- If you are in good or superior health. While most policies are issued with standard rate, preferred health discounts may be available to those in excellent health. These discounts are typically 10%, and you will keep this discount even if your health changes in the future.
- If you are seeking more robust benefit offerings than the group plan offers. These can be built-in benefits or additional cost riders:
- Cash alternative benefits – Instead of the reimbursement only model, these are often found in group plans. Cash benefits allow for more flexibility in how and where you receive care and may even make it possible to pay for informal care from friends or family (not usually covered under an LTC policy).
- Share Care benefits – This type of rider allows two people with identical coverage to combine their benefits into one larger pool that either or both of them could use. Instead of a three-year benefit each, they could instead have a 6 year combined benefit. That way if one pool is exhausted, they can use some or all of the other spouse’s benefit.
- Rate guarantees may be available guaranteeing that premiums won’t increase in the first 3-5 years.
- Accelerated payment options – If you prefer to pay your premiums off during your prime working years, you might opt for a ten-year pay or single pay option.
- LTCI policies linked with an annuity or life insurance product – These options can help eliminate any concerns about “if you don’t use it you lose it”, meaning if you never need long-term care, at your death, your beneficiaries will receive a death benefit.
Other factors to consider:
- The insurer’s financial ratings. Many people look for the strength and stability offered by insurers with an A or better rating from AM Best.
- What type of company is the insurer? Many people look to the stability of products offered by mutuals or fraternal organizations as those companies do not have to answer to profit-driven stockholders every 90 days.
What we can offer:
- Our company has 27 years focused solely on long-term care insurance.
- We have helped 35,000 families create plans for their future long-term care needs.
- We can offer competitive comparisons between the UST offering and many of the leading insurers to ensure that you receive the most bang for your buck.
- Our LTCI specialists have all completed advanced training in the field, and each holds the CLTC (Certified in Long-Term Care) Designation.
- Our team has compared our solutions against most of the large group insurers for years and can help you determine which type of coverage is best for you. If we truly believe you will be best served by your group plan, we will tell you so. Our #1 Core Value is to be Consumer-Centered. This means we always act with your best interest in mind.
Next steps:
Request a competitive quote from Newman Long Term Care at 800-625-9267 or by clicking here. Act now, as your open enrollment period with the University of St. Thomas ends on 4/14/17.
