Expand & Dominate | Lesson 8

Cross-Selling Short-Term Care Insurance

On the other end of the spectrum from long-term care, there’s short-term care, and despite the sound of the name, it can be used as an alternative option to LTC insurance.

STC policies typically provide benefits for 12 months or less and are used to cover gaps in Medicare coverage or as an LTC alternative.

They can also act as a buffer for new LTC clients. With a zero day elimination period, it’s possible to use STC plans to cover the elimination period for a long-term care policy.

Short-term care plans cover home care, assisted living, and nursing homes when your client can’t take care of themselves.

Ideal clients for short-term care insurance include those who desire a cheaper alternative to long-term care, are too old to qualify for LTC, and have been denied long-term care coverage due to health issues.

Single women might also fare better in a short-term care plan than an LTC policy, as the rates for STC are not based on gender.

Short-term care policies often have more lenient underwriting, policies can be issued up to ages 84 or 89, and plans are available for under $50 a month.

These plans add a powerful alternative option to your portfolio. And short-term care coverage is growing in popularity, sales have been on the rise, and we don’t see that growth slowing down anytime soon.

If you sell long-term care insurance, we definitely recommend having some short-term care options in your portfolio as well.

As you’re looking through your options, don’t forget about our experts here at Ritter!

Not only do we offer tools and resources to support you as you sell, we can help you determine which carriers are a good match for your market.

Ready to get started working on your portfolio? We can’t wait to hear from you!

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