Genworth Long Term Care Insurance

Genworth Long Term Care Insurance

Genworth Financial Group is an international financial services company headquartered in Richmond, VA. In 2004, Genworth Financial Group was spun off of General Electric Financial in an initial public offering (IPO). Among the products offered by Genworth Financial are annuities, investment services, life insurance, long term care insurance, and mortgage insurance.

Get a Long Term Care Insurance Quote From Top Companies

Today, Genworth Financial Group is one of the leading financial services companies with over 6,000 employees in over 25 countries. Genworth Financial Group is one of the companies that makes up the S&P 500 index of stocks and manages over $1 billion in assets.

Genworth Financial Group Long Term Care Insurance

Among the numerous products sold by Genworth Financial Group is long term care insurance with a wide variety of terms, conditions, riders and options. In addition to individual long term care insurance Genworth Financial also offers group long term care insurance through participating employers.

Ratings of Companies Issuing Genworth Financial Group Long Term Care

Genworth Financial Group’s U.S. long term care insurance is issued by Genworth. Four major rating agencies rate the financial strength of these companies. As of August 1, 2010, those ratings are:

  • A.M. Best: A (3rd best out of 16 categories)
  • Fitch: A- (7th best out of 19 categories)
  • Moody’s: A2 (6th best out of 21 categories)
  • Standard & Poor’s: A+ (4th best out of 22 categories)

For the seventh consecutive year, Genworth has surveyed long term care service providers across the country. This year, Genworth expanded the survey to 436 regions, to include all Metropolitan Statistical Areas defined for the 2010 U.S. census – offering an additional 105 regions to our 2009 survey.

Overall, the cost of care among facility-based providers has steadily increased, while “non-skilled care”-related home care costs have remained relatively flat. For example, in 2005 the median annual rate for a private nursing home room was $60,225, compared with the 2010 median annual rate of $75,190. This means that Americans can expect to pay approximately $14,965 more per year today for a nursing home than they had to pay in 2005. This increase represents a 4.5 percent compound annual growth rate over that period.

In contrast to facility-based care, rates charged by home care providers for “non-skilled” services have remained relatively flat over the past five years. For example, whereas the national hourly private pay median rate charged by a licensed home health agency for a home health aide was $17.50 in 2005, the 2010 hourly rate has only slowly crept up to $19. The historical compound annual growth rate for this type of care service has been only 1.7 percent over a five-year period. Home care rates have remained flat in part because of increased competition among agencies and the availability of unskilled labor, and by avoiding costs associated with maintaining stand-alone health care facilities.

The trend in pricing among Assisted Living Facilities has changed considerably. Over the last decade, Assisted Living Facilities have continued to adapt to the wide range of care needs presented by our growing elder population. Many facilities now provide services to residents who need continual care or supervision – while still providing a lower level of care to healthier individuals. As the range of services becomes broader, so does the range of monthly costs. In 2010, we asked our assisted living survey participants to provide their monthly rates for both the lowest level of care and the highest level of care. Our aggregated survey results use the average of these ranges. We feel this average is the most reliable indicator of the true cost of assisted living care in the surveyed regions. Given this change in methodology, a comparison to survey results from five years would overstate the compound annual growth rate. However, we do not see any indication in the base data that the increase rate for Assisted Living Facility care would be dramatically different from the 4.5 percent compound annual growth rate for nursing homes.

Two-thirds of people over age 65 will need long term care in their lifetime. Long term care is the type of care you may need if you have a prolonged physical illness, disability or severe cognitive impairment (such as Alzheimer’s disease) that keeps you from living independently. These limitations may prevent you from carrying out basic self-care tasks – such as bathing, dressing or eating, called Activities of Daily Living (ADLs).

Genworth is now in our 35th year as a provider of long term care insurance, educating American families, financial professionals, policymakers and others about the need to plan for long term care.

To get a free quote for Genworth long term care insurance or compare long term care insurance quotes from the nation’s top long term care insurance carriers, contact a licensed long term care insurance professional by clicking here: Long Term Care Insurance Quote.

See also:

MetLife Long Term Care Insurance

*Company ratings as of August 1, 2010