Open enrollment for the Federal Long Term Care Insurance Program, the most important group long-term care coverage plan inside the United States, begins April Four and continues till June 24 (2011).
This is the primary abbreviated underwriting alternative for non-enrolled candidates since 2002. The Federal program at the moment has over 200,000 members and is on the market to thousands and thousands of Federal staff, communication employees, lively army additionally to spouses and, for the primary time, many same-sex companions. During the open enrollment interval candidates will reply few well being questions so as to be entitled for this system.
Initially, two underwriters (John Hancock and MetLife) supplied the coverage safety establishing Long Term Care Partners, LLC, a brand new firm devoted to administering the FLTCIP. In May 2009, the Office of Personnel administration (OPM) chosen John Hancock as the only real underwriter for the FLTCIP's second seven-year contract time period.
It is necessary for customers who're entitled for this system to grasp that it is a "group" plan exploitation 9 easy well being underwriting questions. Knowledgeable medium of exchange specialists clarify that it is a vital alternative for individuals who have already got some well being points and who power not well being qualify for personal LTC coverage.
However, medium of exchange planners clarify that the federal program doesn't supply good-health discounted charges. These typically cut back what one pays for protection and are locked-in. Simply acknowledged, they aren't misplaced when the policyholder's well being adjustments in future years. The federal plan additionally doesn't supply spousal or associate reductions that may amount to as very a lot like 40 % in annual business nest egg for every particular person.
As a end result, {couples} who're in good well being can typically receive well extra protection for much less cash and may evaluate the federal program with non-public long-term care coverage available from main coverage corporations together with John Hancock, Genworth, Prudential, Mutual of Omaha, LifeSecure and MedAmerica.
The following chart compares prices for the Federal Plan in comparison with the 2011 LTC Insurance Price Index compiled by the American Association for Long-Term Care Insurance. The business commerce group gathers charges from main, top-rated underwriters.
Federal Plan:
Single Person (age 55): $ 1,398.12 per-year
Husband / Wife (each age 55) $ 2,796.24 per-year
Costs for $150-per-day profit, 3-year Benefit Period, 4% compound inflation.
LTC Insurance Company A:
Single Person (age 55): $ 1,325.00 per-year
Husband / Wife (each age 55) $ 2,084.00 per-year
Costs for $150-per-day profit, 3-year Benefit Period, 3% compound inflation, consists of Preferred Health low cost.
For Couple: Includes Shared Care Benefit Rider + Spousal Discount for Couple
LTC Insurance Company B:
Single Person (age 55): $ 1,435.00 per-year
Husband / Wife (each age 55) $ 2,162.00 per-year
Costs for $150-per-day profit, 3-year Benefit Period, 3% compound inflation consists of Preferred Health low cost.
For Couple: Includes Shared Care Benefit Rider + Spousal Discount for Couple.
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