Employer-sponsored long-term care insurance (LTCI) plans may have to change along with the LTCI industry.
Jesse Slome, executive director of the American Association for Long Term Care Insurance (AALTCI), has given that advice in an AALTCI commentary on the state of the group LTCI market.
In the past, several carriers were competing vigorously for group LTCI accounts of all sizes.
Today, because of the effects of low interest rates on LTCI carrier investment earnings, and the effects of gloomy actuarial analyses on carrier executive morale, only one carrier is still offering true group LTC programs to large employers.
Many large employers prefer to offer true group programs, because true group programs often offer more relaxed underwriting standards than individual programs or multilife programs.