The Worst Long-Term Care Insurance Companies: How to Avoid Them

Shawn Plummer, CRPC

Chartered Retirement Planning Counselor

Our Choice For Worst Long-Term Care Company

While Genworth has been a prominent player in the long-term care insurance market, there are several issues that policyholders and critics have pointed out over the years which might influence its reputation:

  1. Rate Increases: Genworth, like many long-term care insurance providers, has faced criticism for significant premium rate increases on existing policies. These increases can be a financial strain for policyholders, particularly older ones who are often on fixed incomes.
  2. Financial Stability Concerns: Genworth has experienced challenges related to its financial stability. For instance, its ratings by major financial rating agencies have seen downgrades over the years. Currently, AM Best has them rated a B+. Standard and Poors have them rated a BB-. Financial stability is crucial for long-term care insurance, as it impacts the company’s ability to pay claims in the future.
  3. Claims Disputes: Some customers have expressed dissatisfaction with Genworth’s claims process, citing delays and disputes over eligibility for benefits. A smooth, transparent claims process is vital to ensure that policyholders receive the benefits when they need them.
  4. Market Withdrawal: Genworth has also stepped back from certain markets, including regular life insurance and annuities, to focus on its long-term care insurance and mortgage insurance sectors. AM Best rates Genworth’s life insurance as C++ and its annuities as B-. This raises further concerns about future financial stability.
  5. Customer Service Issues: Consumers have reported difficulties with customer service, including long wait times and inadequate support during the claims process.

Our Recommendations

Multiple insurance companies offer good policy benefits and reasonable monthly premiums. These are some of our favorite choices.

  • OneAmerica: Provides asset-based long-term care solutions with Asset Care, Lifetime Benefit riders, and joint coverage options for couples, combining life insurance with long-term care benefits. They also hold an A+ with AM Best demonstrating exceptional financial strength.
  • GILICO is a trusted provider of long-term care insurance, known for flexible coverage options, competitive pricing, and strong financial ratings(A- with AM Best).
  • Mutual of Omaha is a long-standing leader in long-term care insurance. It offers comprehensive coverage, various discounts and incentives, exceptional customer service, and strong financial ratings(A by AM Best).
  • Nationwide: Provides a range of long-term care insurance products, features a Care Concierge program, and firmly commits to financial stability(A rating with AM Best) and customer satisfaction.
Worst Long-Term Care Insurance

How We Assess Poor Long-Term Care Insurance Companies

To make an informed decision, we assess insurance companies using six common criteria based on typical complaints against long-term care insurance providers. This approach helps us evaluate their performance and reliability accurately.

  • Poor Customer Service: Among the worst long-term care insurance companies, poor customer service often tops the list of complaints. Here, we’ll look at companies with a consistent track record of unresponsive or unhelpful customer service departments.
  • Difficult Claims Process: Another common issue is a cumbersome claims process. In this section, we’ll identify companies that make it unnecessarily difficult for policyholders to make claims, leading to delays in receiving much-needed care.
  • Increasing Premiums: Unpredictable and soaring premiums can pose a significant financial burden on policyholders. We’ll highlight companies known for their unannounced premium hikes, which can catch policyholders off guard.
  • Weak Financial Stability: When you’re looking for long-term care insurance, it’s essential to find a financially stable company. You don’t want to purchase a policy from a company that is at risk of going out of business. The last thing you want is to be left without coverage when you need it the most. To research a company’s financial stability, you can look at its rating from independent agencies like A.M. Best or Standard & Poor’s.
  • Poor Customer Reviews: Consider the company’s customer satisfaction ratings. You can find these ratings on sites like J.D. Power or Consumer Reports. Choosing a company with high marks in this area is essential. After all, you’ll be working with them for a long time and want to ensure they’re easy to work with.
  • Inability To Pay Claims: Finally, don’t forget to look at the company’s claims-paying ability. This is how likely they are to pay out on a claim. This information is on the National Association of Insurance Commissioners’ website.
Worst Long Term Care Insurance Companies

What We Recommend

  • First Step: Personalized Consultation
    • The first step is to contact us for a personalized consultation. We will discuss your specific needs, preferences, and financial situation during this session. The main benefit is understanding your options clearly and receiving expert advice tailored to your circumstances.
  • Second Step: Customized Plan
    • Next, we will develop a customized plan that outlines the best long-term care insurance options for you. We will compare various providers, their financial stability, claims processes, and customer service records. The main benefit is having a tailored strategy that maximizes your benefits and minimizes costs.
  • Final Step: Implementation and Support
    • Finally, we will assist you in implementing the chosen plan and provide ongoing support. This includes helping with paperwork, answering questions, and ensuring that your policy remains the best fit for your needs. The main benefit is achieving peace of mind, knowing that you are well-covered and supported.

Features and Benefits

  • Expert Guidance: Personalized advice from experienced professionals helps you make informed decisions.
  • Comprehensive Comparison: We compare multiple providers to find the best options for you, ensuring value for money.
  • Ongoing Support: Continuous assistance with claims and policy management ensures your coverage remains effective.

Common Objections

Some may worry about the cost of professional advice. However, our services often save you money in the long run by finding the most cost-effective solutions. Others might be concerned about the time commitment, but we handle most of the work, making the process smooth and efficient for you.

Ignoring these steps could leave you with inadequate coverage, financial instability, and unnecessary stress. By working with us, you’ll enjoy the benefits of reliable coverage, financial peace of mind, and exceptional support.

You will feel confident, secure, and valued, knowing that you have made the best decision for your future.

Contact us for free advice or a quote.

Worst Long Term Care Insurance Companies In Usa

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Frequently Asked Questions

How do you avoid bad long-term care companies?

To avoid bad long-term care companies, research and compare their reputation, quality of care, staffing levels, certifications, and compliance with regulations. Seek recommendations, read reviews, and visit facilities before making a decision.

What makes a long-term care company terrible?

A long-term care company can be considered terrible if it has a history of poor quality care, inadequate staffing, neglect or abuse of residents, safety violations, or a lack of transparency and responsiveness to concerns.

Shawn Plummer, CRPC

Chartered Retirement Planning Counselor

Shawn Plummer is a Chartered Retirement Planning Counselor, insurance agent, and annuity broker with over 14 years of first-hand experience with annuities and insurance. Since beginning his journey in 2009, he has been pivotal in selling and educating about annuities and insurance products. Still, he has also played an instrumental role in training financial advisors for a prestigious Fortune Global 500 insurance company, Allianz. His insights and expertise have made him a sought-after voice in the industry, leading to features in renowned publications such as Time Magazine, Bloomberg, Entrepreneur, Yahoo! Finance, MSN, SmartAsset, The Simple Dollar, U.S. News and World Report, Women’s Health Magazine, and many more. Shawn’s driving ambition? To simplify retirement planning, he ensures his clients understand their choices and secure the best insurance coverage at unbeatable rates.

The Annuity Expert is an independent online insurance agency servicing consumers across the United States. The goal is to help you take the guesswork out of retirement planning and find the best insurance coverage at the cheapest rates

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