The pandemic shifted the way a lot of Americans view long-term care and insurance according to a new LIMRA survey.* LIMRA says more than a quarter (26%) of the people it surveyed say they are “extremely or very likely” to consider a combination/hybrid life product when shopping for insurance (a life policy with an LTCi component). In 2019, that number was just 17%. More than a third (36%) said they were “somewhat likely” to consider it.
Age plays a role in decisions about life combination products which is no surprise. While just 17% of Baby Boomers said it was “extremely likely” they would consider these combination products, more than double the number of Millennials said the same (35%). Also not surprisingly among those who identified as caregivers for family members facing “high levels of stress,” more than third, (36%) said they were very likely to consider a combination product.
The survey’s findings are also similar to others we’ve reported on in recent months when it comes to people wanting to age at home or receive long-term care at home. LIMRA’s survey shows 6 in 10 people prefer to receive long-term care at home.
Concerns related to the cost of care and the affordability of stand-alone insurance were cited as reasons people were interested in combo products, with 35% saying they were worried LTC care costs would exceed or deplete their savings and another 26% saying they thought stand-alone LTC products were too expensive.
These ideas of aging at home and not having affordable LTC options are mirrored in two recent reports from the Milken Institute – “New Approaches to Long-Term Care Access for Middle-Income Households (April 2021),” and “Market Scan: Future of Long-Term Care amid Current Landscape of Barriers and Opportunities (May 2021).”
Learn more about the “Interest in Life Combination Products Shifts” survey and LIMRA.
*LIMRA surveyed more than 2,000 Americans in January 2021.