On February 3, 2014, LifeSecure Insurance Company will release its next-generation Long-Term Care insurance
product – LTC II with Shareability Option – to the individual and multi-life markets. The new product will initially
be available in 40 states.* Highlights are listed below, but for full details including states impacted, application deadlines for the current product and much more, click here for the full bulletin from LifeSecure.
LifeSecure’s new LTCi product and respective pricing were designed to reflect current economic realities and further
refined based on decades of experience of the LTC insurance industry as a whole. Our new offering also preserves
LifeSecure’s trademark simplicity, flexibility and innovation. The result is a product with greater stability and stronger
risk protection that will serve policyholders for years to come as well as give you, the agent, continued confidence
when recommending LifeSecure’s LTC solutions to your clients.
What’s similar? LifeSecure’s LTC II with Shareability Option still offers…
- The same simple product structure you know with a straightforward Benefit Bank design, Monthly Benefit choices and very few decision points.
- The same Flexible Benefit, which can be used for informal care, including care by family members.
- The same opportunity to offer multi-life, simplified-issue solutions to employer groups with as few as three employees.
What’s new?
Product Enhancements
- An International Coverage Benefit as a standard feature.
- A Shared Care Benefit Rider to provide greater flexibility for couples.
Pricing Changes
- Gender-based pricing for the individual markets to better reflect differences in claims and benefits usage between males and females. This pricing trend represents a new direction in the LTCi industry, is in line with changes made by other carriers, and will help further support the strength and stability of LifeSecure’s LTCi product line. The multi-life markets will continue to use unisex-based pricing (In DE & MT: unisex rates for all individual and multi-life rate classes).
- Adjusted pricing assumptions to more accurately reflect the current economic environment, recognize industry claim trends and incorporate up-to-date LTCi industry experience analysis. This update has resulted in an increase to our unisex rates by 27% on average, as compared to our previous unisex rates. Actual differences vary widely based on ages, benefit durations and types of inflation protection.
Underwriting Updates
- Newly refined underwriting practices – such as modifications to our build table and a move to BMI measures, updates to our uninsurable medications list, and revisions to the knockout questions in both individual and multi-life applications. These updates help to create a more stable risk-to-pricing balance and also allows LifeSecure to be able to offer strong, comprehensive LTCi protection for years to come – at premiums that remain very competitive in today’s marketplace.
- New individual underwriting requirements include the use of paramedical exams for applicants who haven’t undergone a medical examination in the previous two years.