Older adults aged more than 70 years have a good chance of having their applications for traditional long-term care insurance declined, according to the American Association for Long-Term Care Insurance.
“Consumers simply are not aware of the need to health-qualify for long-term care insurance, so they delay looking into this important protection,” AALTCI Director Jesse Slome said. “After age 65, it gets increasingly hard to be accepted for this protection.”
Thirty-eight percent of applications from individuals aged 65 to 69 are declined, the organization reported, and after 70, the chances of having applications declined increases to 47%.
The “sweet spot” to look for long-term care insurance, according to Slome, is between the ages of 55 and 65.
“Once people are covered by Medicare, they start seeing more doctors, which is great but often increases the likelihood that medical conditions will be included as part of their health records,” the expert added.
Many traditional plans automatically decline applications from older adults over the age of 75, but that doesn’t make those individuals uninsurable overall, Slime said. Some linked-benefit and short-term care policies still will accept older applicants, he said.
“They will have health requirements as well, but sometimes they can be easier to qualify for and should definitely be considered as viable options for those who want this protection,” Slome said.