COVID-19 is continuing to lead to noticeable changes in long-term care insurance (LTCI) claims, and it’s starting to affect group life and group disability claims.
Executives from Unum Group gave that assessment last week during a conference call when they went over third quarter results with securities analysts.
Steve Zabel, the chief financial officer of the Chattanooga, Tennessee-based company, said COVID-15 caused the mortality rate for people collecting Unum LTCI benefits was about 15% higher than expected.
That compares with LTCI claimant mortality being about 30% higher than normal in the second quarter, Zabel said.
The incidence of new LTCI claims seemed to return to more levels in the second quarter, Zabel said.
“However, the month-to-month trends remain very volatile,” Zabel said.
The mortality level for LTCI insureds who were not on claims seem to be in line with expectations, Zabel said.
Rick McKenney, Unum’s chief executive officer, said that LTCI claimants seemed to be less likely than usual to move from one type of care to another in the third quarter.