The Suitability Process
We cannot complete the application process for any client without undergoing a financial suitability review. Among other questions your LTCI Specialist will ask, this involves the review of forms developed with input from the National Association of Insurance Commissioners (NAIC) called a Personal History Worksheet and a Potential Rate Increase form.
The first helps us ensure you have the means to pay your premiums over the selected payment period-- usually, but not always, your lifetime. It also helps ascertain the source of your premium payments-- income or assets. Although sharing information helps your financial advisor conduct his or her job professionally, you do retain a privacy right over much of the information requested.
The second form helps reinforce at the point-of-sale that you understand premiums could rise in the future. (Although companies hope never to do so, this potential exists within all so-called "guaranteed renewable" insurance products, which therefore have a legal requirement to disclose this fact.) Applicants are asked if you could still afford to make your premium payments in the event of a rate increase.
The Good News on Future Rate Stability
As explained in this section on rates, today's policies benefit from the experience gained over the past forty years. In fact, we have tens of millions more "policy-years" of data to rely upon, resulting in assumptions which are extremely conservative. One Society of Actuaries study conducted in 2015 put the odds of a rate increase based upon today's assumptions at just 10%. Just as significant, the study concluded that-- if an increase were required-- its magnitude would likely be much smaller than those of the past.
100% Satisfaction Guarantee
We guarantee you will be satisfied. After you receive your policy, you have 30-days by law to return it for any reason and receive 100% of your money back.
This means there is NO RISK in at least submitting an application to see if you can qualify.