Although people that are approaching retirement age are great candidates for Long Term Care Insurance, there is a rising trend in younger people purchasing a policy to protect their future.
According to the American Association for Long Term Care Insurance, 26% of LTCi policies are sold to people age 45 to 54.
So what is prompting the younger generation to purchase something they may not use for 20 or 30 years?
Many people who purchase LTCi policies understand the importance of having coverage because they are currently taking care of their aging parents while trying to raise their own families. These people know the benefits of LTCi and don’t want to put the burden of being a caregiver on their own children.
The premium for LTCi is based off the applicant’s age. This means that the younger they purchase a policy, the less they will pay. Although they may pay for a longer period of time, it is generally less expensive than waiting to buy.
Younger buyers know that if their health were to change tomorrow they may not be able to purchase LTCi at any price. Buying the policy while young and in good health not only eliminates the concern about future insurability, it may cost less considering younger people have a better chance of qualifying for good health discounts.
The next time you are looking for prospects for LTCi, be sure to consider people in their 40s and 50s.
If you would like more information about prospecting for LTCi, contact your CPS Long Term Care Specialist today.
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