A nursing home bed (Photo: Thinkstock)

My group, the American Association for Long-Term Care Insurance (AALTCI), has been releasing annual reports on long-term care insurance (LTCI) carriers’ largest open claims.

Over the years, we have told many consumers, and general interest news reporters, that high-quality LTCI policies can be a great investment for purchasers who end up needed care for many years.

(Related: CMS Posts 2020 Medicare Advantage Mini Short-Term Care Rules)

The numbers in our latest largest-claim update show how right we were.

Seven insurers told us about the largest claims they still had open as of Dec. 31, 2018.

At each of those insurers, the largest open claim was for more than $1 million.

At several, the largest open claim has surpassed the $2 million threshold.

Most of the largest claims have been open for at least 11 years.

The largest open claim of all has led to the payment of more than $2.6 million in benefits. The claim has been open for more than 15 years.

When clients talk about the possibility of self-insuring against long-term care risk, ask how well-prepared they are to use their own resources to pay for care for more than 10 years —or for 15 years.

— Read Long-Term Care Insurance Claims Rise 12%: AALTCIon ThinkAdvisor.


Jesse Slome (Photo: JS)

Jesse R. Slome is executive director of the American Association for Long-Term Insurance.