Transcript the conference - CPS Horizon Financial

Sponsored Group Program*
Marketing Long Term Care Insurance to
Small Business and Associations
*Marketing Distribution Discount Program in New York and Texas
LTC-2455 06/04
Long Term Care is Underwritten by
John Hancock Life Insurance Company
Boston, MA 02117
For professional use only. Not for use with consumers.
Overview
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LTC Trends
Caregiver Crisis
Workplace Attitudes
Sponsored Group Program
Small Business Opportunities
Heightened Awareness
The Current LTC Market
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LTC Trends
Caregiver Crisis
Workplace Attitudes
Sponsored Group Program
Small Business Opportunities
The Need for LTC assistance
60% of people who reach age 65 may
need long-term care at some point in
their lives¹.
40% of those receiving long-term care
services are adults between ages 18
and 64¹.
1.
“Where does the Population Live and Who Cares for Them? LTC: Diverse, Growing,
Population Includes Millions oaf Americans of all Ages,” January 2001.
Caregiver Crisis
• Most people – nearly 79% - who need LTC live
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at home or in community settings, not in
institutions¹.
27% report they are considering a job change as
a result of their care giving/work experiences¹.
According to the 2001 study by AARP, nearly
20% of sandwich generation caregivers-those
between 45 and 55-have cut back their work
hours, even though they’re in their prime earning
years. And 27% help pay expenses for older
family members².
1.
Long-Term Care Users Range in Age and most Do Not Live in Nursing Homes: Research Alert
Agency for Healthcare Research and Quality, November, 2000
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And Thou Shalt Honor, The Caregiver’s Companion, Edited by McLeod, B, 2002.
Caregiving Costs
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Extensive 24-hour-a-day home care can cost as
much or more than a nursing home.¹
Almost half of men (48%) and women (42%)
reported that they were contributing financial
support- an average of $273 per month in outof-pocket expenses.²
40% of caregivers stated that they had to take
time off without pay for an average of 17 days of
work missed per year due to caring for disabled
elder, and those lost workdays translated to lost
earnings of $5,393 per year.³
1.
Long-Term Care Planning guide, United Seniors Health Council, 2001.
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Findings from a National Study by the National Alliance for Caregiving and The Center for
Productive Ageing at Towson University, June 2003
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U.S. Department of Health and Human Services, Office of Disability , Aging, and Long-Term
Care Policy (DALTCP) and Lifeplans, Inc. January 2000
Future Trends
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By 2030, when the last of the Baby Boomers
will be retiring , the number of people over
age 65 will have doubled to 70 million.¹
The U.S. Department of Health and Human
Services reports that the total number of
Americans needing long-term care is
expected to rise from 15 million in 2000 to 27
million in 2050, an increase of nearly 100
percent.²
1.
American Council of Life Insurers, 2000.
2.
“The Future Study of Long-Term Care Workers in Relation to the Aging Baby Boom
generation: Report to Congress.” Department of Health and Human Services, Office of
the Assistant Secretary for Planning and Evaluation. May 14, 2003, p.v.
Sponsored Group Program
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Defining the Sponsored Group
Program
Voluntary enrollment
Carve outs
Individual benefits
Tax advantages
On the Job with LTCI
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Enriches benefit packages
Reduces absenteeism
Minimum administration, if any
Little to no cost
Employee Advantages
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5% discount
Additional 15%/30% if married/partner
Available ages 18-84
Maximum policy flexibility
Portable
Eligible Individuals
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Employees
Retirees
Spouses/Partners
Parents and Parent in laws
Grandparents
Children and step children
Eligible Groups
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Employer
– 5 or more actively at work employees
– Receipt of 5 or more applications in 60 days
Association
– 10 or more members
– Receipt of 5 or more applications in 60 days
– In existence for 2+ years, have constitution, by-
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laws or charter
Formed for purposed other than insurance or
social
Primary focus is limited to trade or professional
Employer Target Profile
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Existing clients
Family owned businesses
< 200 employees
Strong group life and health
insurance benefits
Enrollment rate 5%-10%
Good Groups
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Accounting and law firms
Bar associations
Hospital and medical practices
Computer/Hi-tech firms
Women’s Organizations
Teachers/Education Associations
Marketing Tips
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Marketing plan
Employer commitment
Capitalize on employer experience
Maintain momentum
Cross Selling Opportunities
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Key employee/Disability insurance
Succession planning
Tax/Estate planning
Retirement income planning
Thank you
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Name
Address
Phone Number