The number of U.S. long term care insurance carriers shrank in 2002, but the carriers in the market still sold more policies.[@@]
America’s Health Insurance Plans, Washington, has published figures supporting those conclusions in its latest annual LTC market report.
Researchers at the trade group found that only 104 insurers were selling private LTC insurance in the United States in 2002, down from 127 in 2001. The number of LTC carriers in the market was the smallest the researchers have recorded since 1987, when the market was in its infancy.
But the remaining carriers sold 901,000 policies, up from 732,000 policies in 2001. Revenue from new sales of individual policies increased to $1.2 billion, from $1 billion, and LTC insurers generated more than $6.1 billion in premium revenue from policies that were already in force.
Sales of new employer-sponsored LTC programs climbed to 899, from 820. Although bigger employers were still more likely to offer LTC programs than smaller employers, 55% of the 5,670 employers that had LTC programs in 2002 employed 100 or fewer workers.