Actuarial Science 2053 Lecture Notes - Life Insurance, Dementia, Long-Term Care Insurance
Document Summary
The problem of old age long term care. The essential elements of long term care include: The need for medical, personal, or social services. The need is the result of an accident, illness, or frailty. Services provided by other persons, either paid or unpaid, at home or in a nursing home. The services are to assist the individual in performing the 5 to 6 essential activities of daily living (adl"s): Ltc insurance promises to pay expenses incurred if the insured is unable to engage safely in selected adl"s: this requires that someone provide the care, either in the home or in an institution. To be eligible for ltc insurance, a person must be deemed a good risk . This done through the underwriting process, which would include: questions on the application, doctor"s statement, interview with proposed insured, paramedical examinimation, type of coverage.