Educating Clients On LTCI: Still An Uphill Battle
Producers say educating consumers about their need for long term care insurance is still an uphill battle, with no signs of it getting easier.
This belief is supported by a recent MetLife Inc. study that shows most Americans between 40 and 70 years of age lack the information they need to make informed planning decisions for their future LTC needs.
“Theyre closing their brain when you talk to them about long term care because they have an entitlement attitude,” says Kathy Halverson, an LTC insurance specialist with Long Term Care Consultants, Green Bay, Wis.
Corroborating that view is MetLifes finding that almost 40% of older Americans mistakenly think LTC is an entitlement for those who reach retirement age, something like Medicare.
“Also, many 70 or older think their kids are going to take care of them, so they are not concerned about it,” says Halverson.
“Baby boomers have had it nice,” she says. “Theyre often broke, theyre mortgaged, but they think the rest of their life is going to be the way it is now. Its discouraging for all agents who are so passionate about long term care insurance.”
Producers need to concentrate their educational efforts on those between 40 and 50 years old, she believes, because information aimed at that age group is more likely to pay off.
But even there, dont expect a receptive audience, she advises. For instance, Halverson recently saw only 30 people sign up for an LTC seminar she was presenting at a local chamber of commerce luncheon that normally draws more than 100 business people.
But shes still going ahead with the seminar. Its titled, “Whos going to take care of the sandwich generation?” To get her audiences attention, she starts off by telling some stories about her own clients who did not have adequate coverage when they needed it.