Abstract
Historically, the greatest single threat to the economic independence of the middle-class elderly has been the catastrophic expense associated with an extended stay in a skilled nursing facility. In an attempt to meet this threat, the first long-term care (LTC) insurance policy was sold in 1974. The insurance industry had been convinced that a legitimate need existed for a private insurance product that would pay benefits for long-term nursing home confinements. A product was developed to provide the following:
a meaningful benefit
a benefit that was promised without qualifications or limitations; otherwise uncertainty about eligibility for benefits would have been created
risk selection criteria and underwriting procedures that would minimize or eliminate altogether the need to use rescission as a defense
efficient claims administration and uncomplicated proof of loss protocol.
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© 2006 Dr R. D. C. Brackenridge, Dr Richard S. Croxson, Dr Ross Mackenzie
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Elliott, D.C., Rubi, E. (2006). Long-Term Care Underwriting. In: Brackenridge, R.D.C., Croxson, R.S., MacKenzie, R. (eds) Brackenridge’s Medical Selection of Life Risks. Palgrave Macmillan, London. https://doi.org/10.1007/978-1-349-72324-9_10
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DOI: https://doi.org/10.1007/978-1-349-72324-9_10
Publisher Name: Palgrave Macmillan, London
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