The Truth About Long Term Care Insurance
Lawmakers in both political parties contend that the solution to the nation’s long-term care crisis is private long-term care insurance–middle class families should be forced to buy these policies in the event that they suffer a debilitating illness in their old age that requires such care, which can cost upwards of $9000/month. Columnist Liz Taylor reveals the truth about long term care insurance industry:
In the muddle of my Christmas mail nearly two years ago, I received notice from my long-term-care insurance company
that my premium was going up — the second time in three years, for a whopping total of 78 percent.
Egg dropped off my face as I thought of the six-part series onlong-term-care insurance I’d written for The Seattle Times the previoussummer. Described by many as one of the most readable accounts they’dever seen on this exceedingly difficult topic, I had been wrong on onecritical element: cost.
In Part 5, I’d written: “Does this mean your annual premiums willnever increase? No. In Washington state, which has tough long-term-careinsurance regulations, a company can increase its rates only if itproves to the state insurance commissioner that it’s necessary. … Iexpect my policy to cost a little more over the next 30 years, but notastronomically more.”
Well, a 78 percent premium increase is definitely “astronomical.”I’ve heard from readers with similar problems, not just with my carrierbut several others. So let’s look at the issues.