Beginning in September, Transamerica’s newest long term care insurance policy, TransCare III, will be available for sale across the nation.

Next Generation

TransCare III represents what Transamerica calls the “next-generation of Long Term Care insurance”.  As life expectancy increases, technology improves, and health care gets more expensive, long term care insurance providers are making adjustments to react to the new cost environments.

The new policy will be available for individual sales in all Interstate Compact states on September 10th, 2013. The company is seeking approval from the Departments of Insurance in all other states and plans to begin sales in those states upon approval.

According to the company, this new plan “reflects the current realities of the marketplace” and provides “innovative long term care solutions for a variety of client needs and budgets”.

Changes in Policy 

The main changes in TransCare III include:

• Maximum Daily Benefit increased to $500 from $400
• Policy Elimination Period expanded to 365 days (in states that allow it)
• 3 Year Rate Guarantee
• Couples Discount increased to up to 30%
• Gender-Based Pricing

The new updates in policy mean greater flexibility in benefits for policyholders and the ability to keep your premiums lower based on different choices, like a higher elimination period.

Gender-based pricing, which took hold earlier this year, is also a new adjustment to long term care insurance policies from the top companies. Genworth, John Hancock, and Transamerica led the way, but are far from the only ones switching to the new pricing model, which reflects higher claim rates for females.

Worth Consideration?

Long term care insurance is an investment that many are beginning to recognize the value in, as they watch their parents go through long term care situations. Nursing homes, assisted living facilities, and even in-home care are very pricey and can quickly deplete your assets if you haven’t properly planned. The risk is too high to ignore, as 1 in 2 Americans will need long term care at some point. That number jumps from 50% to 70% once you pass age 65.

We work with the top-rated companies to get our clients the benefits they want for the best deal. It’s important to do your research with insurance, compare multiple providers, and work with an independent agent. If you have questions about long term care insurance or would like a free personalized quote, call us today at 1-800-800-6139 or request a quote and we will be in touch with you shortly.