Long-Term Care Insurance Policies Increase in Price Due To Higher Nursing Home Costs

Increased life span, lower interest rates and cost of nursing home healthcare were miscalculated years ago causing families and insurance companies alike to rethink Long-Term Care Insurance. Years ago when insurance companies created insurance policies to prepare for nursing home care as individuals became elderly, projecting the cost of nursing home care was difficult.  The costs have increased more than 4% every year for nursing home care.  The average of $6,000 per month is not adequately covered by the Long-Term Care Insurance policies now that individuals are living longer.

Life span increases with a large Baby Boomer population are requiring funding beyond the projections made by insurance companies. Insurance companies are losing money paying out the policies. Some insurance companies have dropped Long-Term Care Insurance policies altogether.  Others have created an increase in policy price in order to cover costs.  The problem is it may be too high of a price for target customers to pay.  For more, read the story.

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Robert W. Carter, Jr. is a Virginia attorney whose law practice is dedicated to protecting the rights of the victims of nursing home and assisted living neglect and abuse in Richmond, Roanoke, Norfolk, Lynchburg, Danville, Charlottesville, and across Virginia.


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