Los Angeles, CA, January 26, 2020 --(PR.com
)-- A couple both age 55 purchasing new long-term care insurance coverage can pay as little as $3,000 or as much as $6,300 for virtually identical insurance protection according to the findings of the American Association for Long-Term Care Insurance.
The just-released 2020 Long-Term Care Insurance Price Index for 55 year old purchasers reported pricing for single men, single women as well as couples. The American Association for Long-Term Care Insurance released data from its annual pricing study that has tracked costs data for over two decades.
“In general costs remained virtually identical to last year,” reports Jesse Slome, director of the American Association for Long-Term Care Insurance (AALTCI). The organization compared current pricing for the leading insurance carriers that sold new coverage in 2019.
According to the Association’s 2020 Price Index, the average annual premium for a 55-year-old couple was $3,050, the same as the prior year. For a single male, age 55, the average cost reported is $1,700 that was significantly lower than the prior year.
"There's no special reason that the average rate declined," Slome shares. "It's likely that some of the higher-priced companies have stopped selling large number of policies. What remains consistent is the importance of working with an insurance professional who has the ability to compare multiple insurers and is appointed with those offering high quality coverage for a significantly lower price."
For a single female the average cost going into 2020 is $2,650, about the same as the prior year's study findings.
Costs For Virtually Identical Coverage Continue To Vary Significantly
The Association reports that the spread between the lowest and highest cost for virtually identical coverage was typically just over 100 percent. “Each insurance company sets their own pricing for coverage, it is up to the consumers to compare if saving money is important,” Slome adds.
The Association’s 2020 Long-Term Care Insurance Price Index shared planning and savings strategies that can be utilized by couples. “There are ways to protect yourself and save money that agents may fail to suggest but in my opinion are worthy of consideration,” Slome noted. For example, Slome recommends married couples ask about the shared care option where one spouse had future access to the benefit pool of the other spouse or partner. “Or, ask for pricing for a two (2) percent inflation growth option rather than the standard three (3) percent which agents often default to,” he adds. These features are not offered by all insurers the Association points out making comparison shopping vital.
To obtain long term care insurance quotes from a professional with expertise specifically in long term care insurance products offered by multiple leading companies call the national organization at (818) 597-3227 or visit the Association’s website at www.aaltci.org.