The Impaired Risk Asset-Based LTC Solution

Anyone selling Long-Term Care Insurance, either traditional or asset based, knows that there are some “full stop” impairments that will trigger an automatic decline. They’re rather obvious. What may not be as obvious is the list of conditions that trigger an automatic postponement of three to twelve months from the end of treatment:

• Stroke/TIA
• Pacemaker Implantation
• Bypass/Angioplasty
• Cardioversion
• Gastric Bypass Surgery
• Chiropractic Treatment
• Heart Attack
• Carotid Artery Surgery
• Valve Replacement
• Joint Replacements

However, if you’re “in the know” you can turn those unfortunate postponements into wins. Clients with any of these conditions CAN be approved for coverage TODAY.  

There’s another impairment that follows this same pattern: Cancer. In the case of cancer, the typical carrier response is to postpone anywhere from six months to up to five years from the end of treatment! Again, there is a better path forward here that allows for coverage to be secured TODAY, even if still under treatment in some cases. Think about clients undergoing treatment for:

• Breast Cancer
• Colon Cancer
• Leukemia
• Lung Cancer
• Lymphoma
• Prostate Cancer
• Skin Cancer
• Uterine/Cervical Cancer

How can we overcome these impairments and place coverage immediately? We follow a few simple rules:

• Rule #1: Do your field underwriting!
• Rule #2: If you identify one of the impairments listed above, immediately pivot to ForeCare.
• Rule #3: Do NOT submit an application to another carrier to “see what they say.” A declination or postponement at another carrier will result in an automatic postponement of 12 months for ForeCare.

Why this Works:

• Annuity-based LTC solutions are underwritten differently than life-based LTC solutions.
• ForeCare has the most liberal/accommodating underwriting in the segment.
• Locking in coverage today is critical for these clients who are often older and already experiencing health challenges. Securing coverage while their health allows is critical to mitigating the risk of paying for care out of pocket.