LTC companies NOT to hire on clarkhoward.com

Clark has tried for years to get people of a certain age to buy long term care insurance. Many of us are going to need to stay in a nursing home or will need long term care when we’re old, yet people assume social security will pay for it. That is not true. Most people should get long term care insurance when they reach their ‘50s. The only groups who don’t need LTC insurance are those who have very few assets or millions of dollars in wealth. That leaves about 80 percent of people who do. The New York Times published a story about the three companies you absolutely do not want to have. The third largest writer of LTC insurance, Conseco, has 29 times the complaint rate of the industry leaders. According to reports, Conseco repeatedly does not pay legitimate claims. Banker’s Life & Casualty, which is owned by Conseco, was second on the list. The last one is Penn Treaty American, which is the 7th largest writer of policies. That company has a complaint rate of 9 times the industry leaders. It’s horrible. These people have paid throughout their working lives in order to be taken care of when they no longer can. But that is not happening. Shame on the companies listed for mistreating customers.

What others are saying

Bankers Life raised rates..should we cancel
My 85 yo Dad has had Bankers Life LTC policy for 6 years. His health is very good for his age- has 2 stents in heart - takes very little medications, and works out at gym 3x week.
He paid $670/mo for policy because he was older. Now they have just raised rates to $1050/mo.
I'm trying to figure out if this is worth it anymore.
Thoughts? Thanks!
By Joanie @ 11/02/09 03:18:47 PMreport abuse
bankers life and casualty
I have been a producer with bankers for 1 year now and also have not run in to one claim that has been unpaid. My first 3 months consisted of helping 'orphaned' clients who had been with bankers for years with claims. No complaints! Also as far as only buying form A+ rated companies: AIG was A+ rated... it doesn't always mean you are safe. Anyway, I can only share my own experience with Bankers. Building and keeping relationships is deeply seeded in Bankers values, which is why we have been in business over 125 years. Take what clark said with a bucket of salt.
By bankers agent @ 08/15/09 01:21:30 PMreport abuse
Conseco
I am locked in with Conseco. It is an absolute nightmare company. My husband already has dementia, so now we can not switch, although he is not on claim. However, they jacked up our premiums (I know the Ohio Insurance Department allowed them, Ohio Insurance is only for the insurers and not the consumers) and so I modified the policy and they STILL took out the old premium! It took me over three months to get it back and then they stopped payment on the first check they sent me, all because I had filed the complaint with the Ohio Insurance Dept. (this is what they said in their letter!). I am an attorney and know that when my husband must go on claim, I will need all my skills to battle this company.
By Georgianna Parisi @ 06/13/09 04:48:49 PMreport abuse
Long Term Care Ins
LTC ins that is a laugh. My aunt bought a policy from AF&L 7 years ago. Went into a assistant living in Jan. Still trying to get policy to pay. It is just a loop as someone said. They also say she will have to keep paying premium. Her policy only pays for 1 year. They have raised premium twice and lowered coverage. I think they have written policy so they can interpret it anyway they want. After 6 mo. of trying to collect I have turned it over to an Ill state agency. I am still not sure they will pay. I think the states need to look into ins. co selling these policies. This is a crime on the part of the Ins Co. If they don't have to pay they save money.
By Judy Marlow @ 06/09/09 08:37:42 AMreport abuse
Long-Term Care Insurance
I bought a LTC policy from Life Investors when I was 49 years old. I was given the impression that I was "smart" to buy a policy when I was young because I could get a policy with everything included for a much lower premium than if I had bought the policy when I was older. I was also practically assured that the rate was locked-in. They did not raise my premium for 10 years. Finally, when I was too old to switch without incurring a big financial burden, they started raising my premiums at the rate of $100-$200 per year. Now, only 4 years later, the premiums are over $600 higher than for the forst 10 years that I had the policy. The state insurance commissioner has been of ZERO help. There could not be more than a handful of people in my "class" by now as many have either died or dropped the policy. I feel as though I have been deceived and tricked into buying a policy at a young age to keep premiums low. They have offered to drop or decrease some benefits to lower the premium, but why should I have to do that? Life Investors should be avoided. If they pull this type of thing now, what will they do when it is time for me to place a claim?
By Nancy @ 04/06/09 08:48:39 AMreport abuse
Pru plan options
Without looking at the employer plan options, or knowing anything about you...it is hard to say. Most employer plans offer limited options, have little or no discounts for spouses, or options for shared plans...so you can generally get a much better value buying LTC on your own. A partnership plan will lock you in to a minimum set of benefits for that state, and your work plan may not. Talk a local independent agent for advice. Also, do not limit yourself to Prudential as a carrier. You can likely do better with other options.
By Herman Bruns - independent LTC agent @ 03/20/09 08:01:07 PMreport abuse
Prudential LTC: CT Partnership vs employer plan
Would appreciate comments on potential advantages/disadvantages of enrolling in Prudential's LTC via my employer versus the Connecticut Partnership plan with Prudential. Thanks.
By mdConfused @ 03/20/09 01:42:39 PMreport abuse
Bankers Life Long Term Policy
"Licensed, Home Health Agency" is the only way we're told that we can activate a policy for our "qualified" mother with alz. The family is well satisfied with our 24hr (private pay, CNA trained, six year long caregiver who also is a geriatric care manager with guardianship experience. Bankers Life said we need to pay 60% of our $100 daily policy payout to a Home Health Agency. Mom's caregiver has very satisfactory supervised more health well being than any home health agency can do. We are frustrated. Should we get an attorney involved? Must my family forfeit 60% of the payout in order to have the remaining 40%?
By Steamed! @ 03/11/09 03:19:24 PMreport abuse
long term care with Banker's life & Casualth
This company is a nightmare to deal with. Your listeners and readers should read all the comments given on the website Insurance.freeadvise.com/reviews/41. I myself have had terrible times with this company trying to get them to pay a claim for my mother's long term care. You feel like you are in an audio loop--and around and around you go with the same questions, forms requests and anything to stall,delay,and most of all,not paying a claim. The only way I got them to pay was to get a lawyer. Now after one year of paying they are just not sending the monthly checks. Again the loop with totally irrelavant questions and responses of we will get back to you. Not so! There needs to be a clean up of the insurane industry starting with Banker's Life & Casualty. I for one would like to start a class action suit against them but am not quit sure how to procede. Help!! Clark.
By annette bridges @ 03/02/09 12:58:31 PMreport abuse
Penn Treaty
My husband went on Long Term Care (Home Health Care) benefits in May, 08, and Penn Treaty couldn't have been better to us. We have not had to do anything to keep benefits going. They've done everything with a smile. Their service was commendable. I am sorry to hear that others have had complaints.
By Sandra Kaye @ 02/26/09 06:47:55 PMreport abuse
"Good and bad" LTC companies
I've specialized in LTC for over 13 yrs. There is no such thing as a "locked in" rate. Any carrier has the legal right to raise premiums if they do so for everyone in the state who has that policy series and pre-approved by the commissioner. In 2008, the Big 3 - John Hancock, MetLife and Genworth - all raised premiums to SOME of their clients (but only 12-18% between them, compared to HUGE increases several times by Bankers Life, Life Investors, Conseco, Penn Treaty, etc). I agree we should use a top rated carrier like Hancock, but there are other factors also to consider. There are many good agents with the "bad" companies, but it doesn't change their financial rating, their history of huge rate increases or their number of complaints with the state. Those things are matter of record. Allianz is good too, but rated A only; they give a 5 year rate guarantee and have never ever so far raised premiums to any clients. My favorites are Hancock, Prudential. MetLife too - but this year they will become less competitive price-wise. If you want all cash, MetLife and MedAmerica have flexible plans for that. MedAmerica also has a somewhat lower rating than the big guys. Pru has a good cash option.
Clark, my clients average early 50's. I bought our policy at 43. Even if I pay on it for 40 years or more, I will have saved many thousands compared to starting when older, plus I did lock in my preferred discounted rate and my insurability. Over 50? Get it now. I know something about this with over 2,500 clients on LTCi.
By Philip Shields, CLTC @ 02/13/09 01:32:28 PMreport abuse
LTCi
Penn Treaty has paid all of my client's claims, everytime without hassle for the past 14 years. I have Penn Treaty as my own LTCi mainly because it allows friends, neighbors, relatives to be your caregiver. The old policies were the best policies. Now, they are "standarized" and one must be ill for at least 90+ days in order to receive care. I hope the woman in FL with the LTCi concern can get her Mother's doctor to write out a plan of care that shows what she needs help with, how many hours per day, how many days per week and for how long? This should suffice, but it must be signed by the doctor. All of my clients love Penn Treaty - and I don't say this lightly or bc I make any money doing so.
By Anne Russell @ 01/30/09 04:21:38 PMreport abuse
Long Term Care
I have studied Long Term Care for the last 3 years and Allianz has the best price for the coverage and is a rock solid company
By Fran Hall @ 01/25/09 10:28:33 PMreport abuse
LTC rate increases
My John Hancock (A++) LTC policy was purchased ten years ago when I was 59. The premium has just been increased from $1148 to $1297. Clark's information states that A++ companies do not "jack up" the premiums down the line. That information is no longer correct!
Of course, there are options like lowering some of the benefits, but I had assumed that my premium was "locked in." What a disappointment!
By Marilyn J Hopkins @ 01/25/09 05:31:52 PMreport abuse
LTC Companies
NYL! You want a company to be there for you? This is the one.
By Shawn @ 12/14/08 06:46:35 PMreport abuse
Penn treaty update
Well...Clark will be happy to know that Penn Treaty has indefinitely suspended selling Long Term care insurance, as it tries to get its house in order. No telling if or when they will resume new business. This announcement does not affect existing policy holders.....other than making them even more nervous.
By Herman Bruns - independent LTC agent @ 10/12/08 12:40:19 PMreport abuse
Bankers life
I dont doubt the previous writers comments of Bankers Agents being devoted their clients as all good agents do, but I was a Bankers Agent and I personally met with a good dozen clients that told me personally that their claims were denied for no apparent reason after the Doctor signed the claim form saying that they needed care. They all tried to get resolution but the customer service dept. was not very helpful. I myself would call the service dept. and the most I would get is how much the premium is and thats about. With other AAA rated companies like John Hancock, you call the 800 number and get a prof. right away. Bankers is an old and good Medicare Sup. Company but I would still go with AARP since they are AAA and Bankers is a B rated company.
By anonymous @ 09/19/08 12:53:10 PMreport abuse
Comments about Bankers Life and Casualty
As a Bankers Life and Casualty agent in the Atlanta area, I am very offended with Clark Howard's information. Clark is an entertainment show and used incorrect information in this blog. Clark did not take the time to research the information. The New York Times article was written by a journalist in California, who has sense been investigated by outside investigators and was found to have falsely stated his facts. The investigation found that Bankers did not have one unpaid claim. Bankers is an investment grade company. I take my relationship with my clients very seriously. Clark is giving a very good company a bad name. Bankers Life and Casualty has been around for 128 and is a very strong company. We are dedicated to our clients needs.
By Bankers Agent @ 08/22/08 12:52:24 PMreport abuse
LTC Insurance Claim Hell
I've been battling with Penn Treaty in behalf of my 90 yr. old mother for over a year. They have so cleverly written their policies so they may interpret them however they see fit. SHAME on them! She has paid $457 a month premiums and is getting very little from them in return. My next step will be contacting the FL state insurance commissioner and my elder care lawyer. In the meantime we struggle to afford the care she needs. The government needs to make them pay and then shut them down!
By Fran Baldwin @ 06/17/08 01:23:04 PMreport abuse

Bankers Life raised rates..should we cancel

My 85 yo Dad has had Bankers Life LTC policy for 6 years. His health is very good for his age- has 2 stents in heart - takes very little medications, and works out at gym 3x week.
He paid $670/mo for policy because he was older. Now they have just raised rates to $1050/mo.
I'm trying to figure out if this is worth it anymore.
Thoughts? Thanks!

By Joanie @ 11/02/09 03:18:47 PMreport abuse

bankers life and casualty

I have been a producer with bankers for 1 year now and also have not run in to one claim that has been unpaid. My first 3 months consisted of helping 'orphaned' clients who had been with bankers for years with claims. No complaints! Also as far as only buying form A+ rated companies: AIG was A+ rated... it doesn't always mean you are safe. Anyway, I can only share my own experience with Bankers. Building and keeping relationships is deeply seeded in Bankers values, which is why we have been in business over 125 years. Take what clark said with a bucket of salt.

By bankers agent @ 08/15/09 01:21:30 PMreport abuse

Conseco

I am locked in with Conseco. It is an absolute nightmare company. My husband already has dementia, so now we can not switch, although he is not on claim. However, they jacked up our premiums (I know the Ohio Insurance Department allowed them, Ohio Insurance is only for the insurers and not the consumers) and so I modified the policy and they STILL took out the old premium! It took me over three months to get it back and then they stopped payment on the first check they sent me, all because I had filed the complaint with the Ohio Insurance Dept. (this is what they said in their letter!). I am an attorney and know that when my husband must go on claim, I will need all my skills to battle this company.

By Georgianna Parisi @ 06/13/09 04:48:49 PMreport abuse

Long Term Care Ins

LTC ins that is a laugh. My aunt bought a policy from AF&L 7 years ago. Went into a assistant living in Jan. Still trying to get policy to pay. It is just a loop as someone said. They also say she will have to keep paying premium. Her policy only pays for 1 year. They have raised premium twice and lowered coverage. I think they have written policy so they can interpret it anyway they want. After 6 mo. of trying to collect I have turned it over to an Ill state agency. I am still not sure they will pay. I think the states need to look into ins. co selling these policies. This is a crime on the part of the Ins Co. If they don't have to pay they save money.

By Judy Marlow @ 06/09/09 08:37:42 AMreport abuse

Long-Term Care Insurance

I bought a LTC policy from Life Investors when I was 49 years old. I was given the impression that I was "smart" to buy a policy when I was young because I could get a policy with everything included for a much lower premium than if I had bought the policy when I was older. I was also practically assured that the rate was locked-in. They did not raise my premium for 10 years. Finally, when I was too old to switch without incurring a big financial burden, they started raising my premiums at the rate of $100-$200 per year. Now, only 4 years later, the premiums are over $600 higher than for the forst 10 years that I had the policy. The state insurance commissioner has been of ZERO help. There could not be more than a handful of people in my "class" by now as many have either died or dropped the policy. I feel as though I have been deceived and tricked into buying a policy at a young age to keep premiums low. They have offered to drop or decrease some benefits to lower the premium, but why should I have to do that? Life Investors should be avoided. If they pull this type of thing now, what will they do when it is time for me to place a claim?

By Nancy @ 04/06/09 08:48:39 AMreport abuse

Pru plan options

Without looking at the employer plan options, or knowing anything about you...it is hard to say. Most employer plans offer limited options, have little or no discounts for spouses, or options for shared plans...so you can generally get a much better value buying LTC on your own. A partnership plan will lock you in to a minimum set of benefits for that state, and your work plan may not. Talk a local independent agent for advice. Also, do not limit yourself to Prudential as a carrier. You can likely do better with other options.

By Herman Bruns - independent LTC agent @ 03/20/09 08:01:07 PMreport abuse

Prudential LTC: CT Partnership vs employer plan

Would appreciate comments on potential advantages/disadvantages of enrolling in Prudential's LTC via my employer versus the Connecticut Partnership plan with Prudential. Thanks.

By mdConfused @ 03/20/09 01:42:39 PMreport abuse

Bankers Life Long Term Policy

"Licensed, Home Health Agency" is the only way we're told that we can activate a policy for our "qualified" mother with alz. The family is well satisfied with our 24hr (private pay, CNA trained, six year long caregiver who also is a geriatric care manager with guardianship experience. Bankers Life said we need to pay 60% of our $100 daily policy payout to a Home Health Agency. Mom's caregiver has very satisfactory supervised more health well being than any home health agency can do. We are frustrated. Should we get an attorney involved? Must my family forfeit 60% of the payout in order to have the remaining 40%?

By Steamed! @ 03/11/09 03:19:24 PMreport abuse

long term care with Banker's life & Casualth

This company is a nightmare to deal with. Your listeners and readers should read all the comments given on the website Insurance.freeadvise.com/reviews/41. I myself have had terrible times with this company trying to get them to pay a claim for my mother's long term care. You feel like you are in an audio loop--and around and around you go with the same questions, forms requests and anything to stall,delay,and most of all,not paying a claim. The only way I got them to pay was to get a lawyer. Now after one year of paying they are just not sending the monthly checks. Again the loop with totally irrelavant questions and responses of we will get back to you. Not so! There needs to be a clean up of the insurane industry starting with Banker's Life & Casualty. I for one would like to start a class action suit against them but am not quit sure how to procede. Help!! Clark.

By annette bridges @ 03/02/09 12:58:31 PMreport abuse

Penn Treaty

My husband went on Long Term Care (Home Health Care) benefits in May, 08, and Penn Treaty couldn't have been better to us. We have not had to do anything to keep benefits going. They've done everything with a smile. Their service was commendable. I am sorry to hear that others have had complaints.

By Sandra Kaye @ 02/26/09 06:47:55 PMreport abuse

"Good and bad" LTC companies

I've specialized in LTC for over 13 yrs. There is no such thing as a "locked in" rate. Any carrier has the legal right to raise premiums if they do so for everyone in the state who has that policy series and pre-approved by the commissioner. In 2008, the Big 3 - John Hancock, MetLife and Genworth - all raised premiums to SOME of their clients (but only 12-18% between them, compared to HUGE increases several times by Bankers Life, Life Investors, Conseco, Penn Treaty, etc). I agree we should use a top rated carrier like Hancock, but there are other factors also to consider. There are many good agents with the "bad" companies, but it doesn't change their financial rating, their history of huge rate increases or their number of complaints with the state. Those things are matter of record. Allianz is good too, but rated A only; they give a 5 year rate guarantee and have never ever so far raised premiums to any clients. My favorites are Hancock, Prudential. MetLife too - but this year they will become less competitive price-wise. If you want all cash, MetLife and MedAmerica have flexible plans for that. MedAmerica also has a somewhat lower rating than the big guys. Pru has a good cash option.
Clark, my clients average early 50's. I bought our policy at 43. Even if I pay on it for 40 years or more, I will have saved many thousands compared to starting when older, plus I did lock in my preferred discounted rate and my insurability. Over 50? Get it now. I know something about this with over 2,500 clients on LTCi.

By Philip Shields, CLTC @ 02/13/09 01:32:28 PMreport abuse

LTCi

Penn Treaty has paid all of my client's claims, everytime without hassle for the past 14 years. I have Penn Treaty as my own LTCi mainly because it allows friends, neighbors, relatives to be your caregiver. The old policies were the best policies. Now, they are "standarized" and one must be ill for at least 90+ days in order to receive care. I hope the woman in FL with the LTCi concern can get her Mother's doctor to write out a plan of care that shows what she needs help with, how many hours per day, how many days per week and for how long? This should suffice, but it must be signed by the doctor. All of my clients love Penn Treaty - and I don't say this lightly or bc I make any money doing so.

By Anne Russell @ 01/30/09 04:21:38 PMreport abuse

Long Term Care

I have studied Long Term Care for the last 3 years and Allianz has the best price for the coverage and is a rock solid company

By Fran Hall @ 01/25/09 10:28:33 PMreport abuse

LTC rate increases

My John Hancock (A++) LTC policy was purchased ten years ago when I was 59. The premium has just been increased from $1148 to $1297. Clark's information states that A++ companies do not "jack up" the premiums down the line. That information is no longer correct!
Of course, there are options like lowering some of the benefits, but I had assumed that my premium was "locked in." What a disappointment!

By Marilyn J Hopkins @ 01/25/09 05:31:52 PMreport abuse

LTC Companies

NYL! You want a company to be there for you? This is the one.

By Shawn @ 12/14/08 06:46:35 PMreport abuse

Penn treaty update

Well...Clark will be happy to know that Penn Treaty has indefinitely suspended selling Long Term care insurance, as it tries to get its house in order. No telling if or when they will resume new business. This announcement does not affect existing policy holders.....other than making them even more nervous.

By Herman Bruns - independent LTC agent @ 10/12/08 12:40:19 PMreport abuse

Bankers life

I dont doubt the previous writers comments of Bankers Agents being devoted their clients as all good agents do, but I was a Bankers Agent and I personally met with a good dozen clients that told me personally that their claims were denied for no apparent reason after the Doctor signed the claim form saying that they needed care. They all tried to get resolution but the customer service dept. was not very helpful. I myself would call the service dept. and the most I would get is how much the premium is and thats about. With other AAA rated companies like John Hancock, you call the 800 number and get a prof. right away. Bankers is an old and good Medicare Sup. Company but I would still go with AARP since they are AAA and Bankers is a B rated company.

By anonymous @ 09/19/08 12:53:10 PMreport abuse

Comments about Bankers Life and Casualty

As a Bankers Life and Casualty agent in the Atlanta area, I am very offended with Clark Howard's information. Clark is an entertainment show and used incorrect information in this blog. Clark did not take the time to research the information. The New York Times article was written by a journalist in California, who has sense been investigated by outside investigators and was found to have falsely stated his facts. The investigation found that Bankers did not have one unpaid claim. Bankers is an investment grade company. I take my relationship with my clients very seriously. Clark is giving a very good company a bad name. Bankers Life and Casualty has been around for 128 and is a very strong company. We are dedicated to our clients needs.

By Bankers Agent @ 08/22/08 12:52:24 PMreport abuse

LTC Insurance Claim Hell

I've been battling with Penn Treaty in behalf of my 90 yr. old mother for over a year. They have so cleverly written their policies so they may interpret them however they see fit. SHAME on them! She has paid $457 a month premiums and is getting very little from them in return. My next step will be contacting the FL state insurance commissioner and my elder care lawyer. In the meantime we struggle to afford the care she needs. The government needs to make them pay and then shut them down!

By Fran Baldwin @ 06/17/08 01:23:04 PMreport abuse

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What others are saying