The vast majority (79.2%) of long-term care insurance agents participating in a national survey expect their new policy sales in 2019 will be higher or at least equal to 2018 according to the American Association for Long-Term Care Insurance (AALTCI).
“Nearly half of the 333 agents responding to the survey expect sales of traditional long-term care insurance policies will be higher,” said Jesse Slome, director of AALTCI. The organization surveyed over 1,000 insurance professionals who have prior experience selling both traditional and linked-benefit LTC insurance policies.
Only 21% of the survey participants expected lower sales this year according to the study’s findings. “There was even greater optimism for the sale of linked-benefit policies,” Slome said.
The survey found that 93% expected sales of linked-benefit LTC policies would be equal to or higher than their prior year’s sales. “In terms of expecting their personal sales to increase, some 66% expected they would sell more linked-
benefit LTC policies in 2019 than they did in 2018,” Slome added.
Optimism extends into the future
The survey queried participants about their outlook five years into the future. “Overall, there was great optimism for the future of the industry and their own personal sales,” Slome notes.
Some 43% of the survey’s respondents expect that in 2023, their sales of both traditional and linked-benefit policies will be higher than today. Only 6.6% expected their sales of both will be lower.
A minority of respondents (7.5%) expressed that by 2024 they expected that traditional long-term care insurance products would no longer be available and that all sales would be linked-benefit long-term care offerings.
The complete findings of the survey and information regarding the survey participants can be accessed online here.
The American Association for Long-Term Care Insurance advocates for the importance of long-term care planning. The organization connects consumers with knowledgeable professionals who are independent advisors for no-cost, no-obligation long-term care insurance quotes and policy comparisons.
350,000 Americans did not buy Long Term Care Insurance policies in 2018……………….
16% of that figure purchased Stand-alone traditional LTC policies.
Therefore, only 56,000 people bought LTCi policies and 294,000 bought hybrid life insurance policies, which had a LTC rider.
In 2017 there were 70,000 stand-alone LTCi policies sold. In 2018 there were 56,000.
Let’s not allow numbers to confuse everyone.
350,000 Americans did not buy Long Term Care Insurance policies in 2018……………….
16% of that figure purchased Stand-alone traditional LTC policies.
Therefore, only 56,000 people bought LTCi policies and 294,000 bought hybrid life insurance policies, which had a LTC rider.
In 2017 there were 70,000 stand-alone LTCi policies sold. In 2018 there were 56,000.
Let’s not allow numbers to confuse everyone.
Arthur, I would say the number that DID NOT buy is far higher than that…
Only 14% of hybrids have an LTC rider.
47% have a chronic illness rider.
39% an accelerated death benefit.
That means that only 41,160 hybrids had real long-term care coverage.
Traditional LTCi sales still outnumber Hybrid/LTC sales.