Genworth announced today that they are purchasing CareScout for about $12.5 million.  (Read the press release at CNN.)  But, why would the largest long-term care insurance provider need a small company like CareScout?

Well, Genworth (formerly GE capital) pioneered long-term care insurance as an industry in 1974, and continues to be a leader.  My guess is that by purchasing CareScout, they are gearing up for a spate of claims to come over the next few years, as baby-boomers who purchased plans begin to take advantage of them.

Rather than go out and try to hire all of the needed people to handle the increasing claims volume that Genworth expects from its huge long-term care business, they instead bought the company and solved the problem with a check. 

We'll keep an eye on this merger and keep the blog updated.

Diabetes and Qualifying for Long Term Care Insurance

Diabetes of course can be a terrible disease causing much pain and health problems, especialy for older Americans as they age.  It can lead to potential problems as the disease progresses which can cause the person to need long term care as their body begins to slowly break down.  I met with a gentleman this week who has Diabetes and at first he thought he had no options when it came to buying a long term care insurance policy.  With some companies that is the case, especially if the person takes insulin.  Genworth which is the former GE Financial will not even look at a person if they are on insulin, but many of the other top companies we work with will.  John Hancock for example, will consider an insulin dependent diabetic who takes up to 50 units of insulin a day and has an A1C level under 8.0.  They really like to see it under 7.0 for the best rates.

If you have Type II Diabetes and are just taking oral medication you will have even more choices in companies but again the A1C level needs to be 7.0 or lower with most companies and of course a non-smoker.

People who have diabetes should be able to get long term care insurance if its controlled but you must do your homework and shop around with at least the top 3 companies.  At LTCtree we work with all the companies and have a good feel for various companies underwriting qualifications so we will match your unique health needs with the best company so you can get the most benefits for the least money.  Take a few minutes and fill out the form below and we will mail you your long term care insurance quotes today.

Today, Conseco, a provider of long-term care insurance, announced a loss nearing a quarter of a billion dollars.  Conseco executives vowed to try to "ditch" more of their long term care business, according to an article in the Indy Star, a newspaper out of Indianapolis.

Conseco has been notorious in the industry for rate increases amoung some exisiting policyholders.  The company is a good case study for consumers in what to look for and what to avoid in a long-term care insurance company. 

Now, more than ever, it is important to work with an insurance broker who can provide you multiple companies and financial ratings and analysis.  Here at LTCtree, we are one such company.

What will the future bring for Conseco?

The CEO, Jim Prieur, vowed to "break even" by the end of the year.  For policyholders with long-term care insurance, based on my reading of the article, it may be a good time to look at some other insurance options to see if replacement insurance is a viable option for you.  We are happy to provide a comparison between our carriers and your Conseco long-term care insurance policy.