Chapter 3 - Long-term care insurance products

Question 1

Nursing care

Answer 1

• care that requires the specific knowledge or skills of a qualified nurse
• at most restrictive, would include the assessment of healthcare need and specific interventions that would require technical competence and knowledge of disease states, which only a registered nurse can provide
• broader definition might cover the costs of a RN in providing, delegating or supervising care in any setting

Question 2

Intermediate care

Answer 2

• focuses on recuperative services following an acute event in order to reduce avoidable hospital admission and minimise dependence on ongoing long-term care.

Question 3

Two generic types of LTC cover

Answer 3

1. pre-funded plans which are purchased by relatively healthy people to protect them against the risk of future disability
2. immediate needs plans are purchased by long-term care claimants to protect them against uncertain survival duration

Question 4

Standard benefit options

Answer 4

1. length of deferred period
2. the rate of benefit escalation
3. length of payment period

Question 5

Methods of funding

Answer 5

1. single payments
2. regular payments
3. restricted regular payments that either stop
   - at a certain age
   - during a defined level of disability
4. retrospective payment, from the equity released after the sale of a home