Star Tribune – Thrivent Doubles Down on Long Term Care Insurance at Turbulent Time for Industry - Deb Newman, 5/28/15
There’s a boom in baby boomers turning 65, as an estimated 8,000 to 10,000 pass that milestone every day in a flood that is projected to continue for the next two decades. And that makes for a bull market in products and services geared to the elderly, including a constellation of long-term housing, medical care and social services.
But paying for those services is increasingly complicated. Medicaid is the largest funder of long-term care, picking up the cost for those with savings under $3,000. It used to be easy for the elderly to give their money to family members and qualify for coverage, but Medicaid now looks back over the previous five years of asset history when determining eligibility. To encourage consumers to cover a part of the cost by purchasing long-term care (LTC) insurance, several states, including Minnesota, set up “partnership” programs that shelter assets up to the level of insurance coverage.
But LTC insurance is an industry in turmoil.