Originally Posted by Huston55
I have a separate question on this subject.
Has anyone purchased LTCi from the Fed Govt system that is available for civil service workers? Or, does anyone have knowledge of it?
I'd like to know how it's choices and premiums compare? Also, does it provide any more certainty that the LTC companies will still exist when/if one needs the policy?
I don't have a policy from them, but there's a lot of information at their web site (premiums, various coverage options, etc). http://www.ltcfeds.com
(web site being repaired right now, expected to be operational again 19 Nov afternoon, EST)
1. Unlike private policies, you can't get a policy that shares benefits between you and your spouse. That leads to some inefficiencies for those of us who only want a policy that covers the "first to need it".
2. If you are in good health, you may be able to find cheaper LTCi through a private policy.
3. I think the federal program probably does offer a bit of protection against an insurance company that is unwilling to pay a justified claim, and some protection against increases in premiums (thought they just had one). With the OPM involved and a lot of customers in the pool, they've got some pull to keep prices down and to find a new carrier if one exits the business.
4. You can get a policy that pays premiums for an indefinite period. I don't know if this type of policy is commonly available through private insurers.