U.S. Department of Health and Human Services
Does Geographic Location Make a Difference? A
Comparative Analysis of the Socio-Demographic and Attitudinal Characteristics
of Active Buyers and Non-Buyers of the Federal Long-Term Care Insurance
Program
LifePlans, Inc.
September 21, 2004
PDF Version
This policy brief was prepared under contract between the U.S.
Department of Health and Human Services (HHS), Office of Disability, Aging and
Long-Term Care Policy (DALTCP) and Abt Associates. The brief was written by
LifePlans, Inc. For additional information about the study, you may visit the
DALTCP home page at http://aspe.hhs.gov/_/office_specific/daltcp.cfm or contact
the ASPE Project Officer, Hunter McKay, at HHS/ASPE/DALTCP, Room 424E, H.H.
Humphrey Building, 200 Independence Avenue, SW, Washington, DC 20201. His
e-mail address is: Hunter.McKay@hhs.gov.
I. BACKGROUND
One of the more ambitious proposals for encouraging growth in the
private insurance market was passage of the Long Term Care Security Act (Public
Law 106-265). This Act was passed in the summer of 2000 and was signed into law
on September 19th of that year. It authorized the U.S. Office of Personnel
Management (OPM) to contract for a long-term care (LTC) insurance program for
federal employees. Coverage would be available to active federal employees and
annuitants (civilian retirees), as well as active and retired members of the
uniformed services. "Qualified relatives" of active workers and military
personnel including spouses, adult children, parents, and parents-in-law would
also be covered by the program. OPM expected that, like the health and life
insurance programs it administers, the Federal Long-Term Care Insurance Program
(FLTCIP) would become the largest employer-sponsored LTC insurance program in
the nation.
The development of the program was in part meant to send a message to
other employers around the country that a "progressive" employer is one that
offers LTC insurance to its employees. Naturally it was expected that
implementation of the program would spur additional interest and growth in the
market. The program began in earnest in July 2002, which constituted the
beginning of the open enrollment period. The carriers underwriting the program
-- John Hancock and MetLife -- formed a joint venture called Long Term Care
Partners, LLC, which is devoted exclusively to administering the program.
Long Term Care Partners conducted one of the largest LTC educational
campaigns ever. More than one million people requested enrollment kits. As of
August 2004, more than 300,000 applications had been received and more than
210,000 policies issued. About 64% of enrollees were active employees and
spouses, 31% annuitants and their spouses, and another 5% surviving spouses,
parents/in-laws and adult children. Thus, in relatively short order, the FLTCIP
became one of the largest group programs in the United States. In part this was
due to the significant marketing and enrollment activities including more than
2,100 educational meetings, briefings to human resources staff and outreach
programs to affinity groups.
The large number of enrollments affords a unique opportunity to better
understand the attitudes and perspectives of both working and retired
individuals regarding LTC concerns, the importance of planning, and the role
that insurance may (or may not) play in meeting the needs of disabled
individuals. An examination of such attitudes can assist policymakers as well
as insurers to better understand marketplace opportunities and barriers, and
devise strategies to encourage growth in the market.
II. PURPOSE
This is the eighth in a series of data briefs based on the information
collected from active buyers and non-buyers of the federal program. The purpose
of this data brief is to determine the extent to which the attitudes, opinions
and motivations of individuals who purchased and did not purchase the federal
LTC insurance policy are in part a function of geographic location. We are also
interested in knowing how geography is associated with their experience with
LTC and opinions about LTC insurance. Relevant research questions answered in
this brief include (but are not limited to) the following:
- How do the demographic and characteristics of active buyers and
non-buyers differ across geographic regions?
- What are the attitudes and opinions about retirement planning among
active buyers and non-buyers across geographic regions?
- What are the similarities and/or differences in knowledge of LTC and
insurance among individuals in each of the geographic regions?
- Does the extent of exposure to marketing materials and messages vary
by geographic region?
III. METHOD AND SAMPLE
Long Term Care Partners used mail surveys to collect information from
active buyers and non-buyers. For purposes of this research, the active sample
consists of employees who are actively working. A "buyer" is someone who
has purchased the insurance plan and paid premiums beyond the free look period.
A "non-buyer" is defined as someone who expressed interest in a program
but had not purchased the plan at the time that the survey was completed.
Three geographic segments are analyzed: (1) the "DC Area", which
comprises the District of Columbia, Maryland, and Virginia; (2) "The East"
which comprises all states to the east of Minnesota, Iowa, Missouri, Arkansas
and Louisiana; and (3) "The West" which includes all states west of Wisconsin,
Illinois, Kentucky, Tennessee and Mississippi. As shown, about 3,300
individuals participated in the various surveys of active and retired buyers
and non-buyers. Table 1 below summarizes the sample sizes
by market segment and geographic regions.
Table 1: Distribution of Sample by
Market Segment and Geographic Region |
|
Washington, D.C. |
The East |
The West |
Active Buyers |
196 |
210 |
228 |
Active
Non-Buyers |
94 |
238 |
223 |
Retired
Buyers |
226 |
427 |
445 |
Retired
Non-Buyers |
76 |
257 |
243 |
Total |
632 |
1,348 |
1,363 |
IV. FINDINGS
A. Demographic and Employment Characteristics
Figure 1 summarizes important demographic
characteristics of the aggregate active sample of buyers and Figure 2 shows similar characteristics for active
non-buyers. Across each of the regions the majority of buyers are married,
male, have children living nearby and are highly educated. The average age of
buyers across the regions varies between 52 and 54 years. There are
statistically significant differences on three variables: income, assets, and
education status. Buyers in Washington, D.C. are more likely to be college
graduates and to have higher incomes and assets. In fact, the average income of
buyers in the D.C. area is $98,261 compared to $81,710 in other regions of the
country. Asset differentials are even greater; the average value of liquid
assets of active buyers in D.C. is about $226,000 compared to roughly $186,000
in other areas of the country.
Figure 1:
Demographic Characteristics of Active Buyers by Geographic
Region |
|
Source: Analysis of data from the FLTCIP, 2003. |
As shown in Figure 2, the same pattern of results
holds true for non-buyers. Again, the only significant demographic differences
across regions are education status and income and asset levels. Non-buyers in
Washington, D.C. are more likely to be educated and have significantly higher
levels of income and assets -- $92,000 compared to $70,000 (income) and
$180,000 compared to $158,000 (assets).
While there are no significant age differences between buyers and
non-buyers across the regions, buyers tend to be more educated, wealthier and
less likely to be married and have children living nearby. This could suggest
that buyers may view having the insurance as compensating for their perceived
lack of family support, which is still the largest contributor of long term
care services.
Figure 2:
Demographic Characteristics of Active Non-Buyers by Geographic
Region |
|
Source: Analysis of data from the FLTCIP, 2003. |
The patterns observed for the active sample of buyers and non-buyers
also holds true for the retired sample. In both cases, retiree buyers and
non-buyers in Washington, D.C. have higher incomes and are better educated than
those in the East and West. There are, however, no significant differences in
asset levels. Again, retired buyers tend to be wealthier and more educated than
non-buyers across all of the regions. Finally, in contrast to the sample of
actives, there were no significant differences in the marital status of buyers
and non-buyers by geographic regions. Retired buyers in the west, however, are
the least likely to have children living nearby. (See Appendix for more detailed information on retirees.)
B. Attitudes and Experience with Retirement Planning and
Long-Term Care
Previous briefs have established that federal employees tend to be
active in planning for their retirement and understand the potential LTC risks
associated with later life. Their life experiences with relatives or friends
may also influence their decisions regarding the purchase of insurance. We
asked a series of questions designed to illuminate key differences between
buyers and non-buyers across the three geographic regions.
There are few differences across geographic regions among buyers
regarding attitudes and opinions about retirement planning. Most (80%) have at
least a general sense for how much to save to live comfortably in retirement,
have thought about how to pay for LTC (96%) and believe having the insurance is
important to retirement planning (97%). Geographic region is also not
associated with non-buyers' attitudes about these issues. However, across all
regions non-buyers are less likely to have thought about these issues or
believe that insurance is an important part of a retirement plan. By and large,
these same patterns hold true for the retired sample.
With few exceptions, geographic region is also unrelated to active
employees' experience with LTC and attitudes about risk. Active buyers in
Washington, D.C. are, however, somewhat less likely to know someone who has
experienced financial hardship as a result of caring for an elderly relative.
(Note that this population also is has higher levels of income and assets than
buyers elsewhere.) Regarding retirees, buyers in the east are the most likely
to have had caregiving experience -- 39% compared to 26% -- to have experienced
financial hardship as a result of caring for an elderly relative -- 7% compared
to 3% -- and know someone who has experienced financial hardship as a result of
caring for an elderly relative -- 42% compared to 35%. There were no
significant differences in experience across regions among non-buyers.
In past research, one factor that has distinguished buyers from
non-buyers is their knowledge of potential payment sources for LTC. The
insurance industry has invested heavily in educating consumers about LTC
financing and there was an extensive educational campaign for the federal
program. In order to gauge the effectiveness of that education, we asked buyers
and non-buyers who they believe would pay for LTC if they ever needed it. There
were no significant differences in responses among buyers. Among active
non-buyers, however, there was an important geographic difference regarding
knowledge of payment source for LTC services. Figure 3
summarizes results among active non-buyers and shows that those in the
Washington, D.C. area are more likely to understand that they will have to use
their own income and assets to pay for care if it is needed.
Figure 3: Active
Non-Buyers View of Who Will Pay for Long-Term Care if it is Needed by
Geographic Region |
|
Source: Analysis of data from the FLTCIP, 2003. |
Non-buyers in Washington, D.C. are also most likely to understand that
Medicare or Medicaid will not pay for their LTC expenses. Finally, the further
away from Washington, D.C. one gets, the more likely is there to be uncertainty
about how LTC costs would be paid if services were needed. This finding may
suggest that at least with respect to payment source knowledge, the education
campaign in the Washington, D.C. area was more effective than in other parts of
the country. Alternatively, it may be that given the higher levels of
education, this is knowledge that these individuals had even before the
marketing campaign began. These trends were not evident among the retiree
sample.
Non-buyers of the federal program were also asked whether or not they
currently had LTC insurance and whether they bought the insurance after they
heard about the federal program. As shown in Figure 4,
non-buyers of the federal program in the Washington, D.C. area are twice as
likely to purchase LTC insurance as non-buyers in other geographic regions.
Moreover, they are the most likely to have bought the insurance after hearing
about the federal program. Somewhat surprisingly, of those non-buyers in the
East and West who had insurance, a meaningful proportion of them -- between 17%
and 25% -- had not heard about the federal program. This finding again suggests
that the education and marketing campaign was either heavily targeted or
particularly effective in the Washington, D.C. area. It also suggests that
other carriers benefited from the wide net cast by the campaign: between one in
five and one in ten non-buyers actually purchased a non-federal policy.
Figure 4: Active
Non-Buyers Purchase of Long-Term Care Insurance by Geographic
Region |
|
Source: Analysis of data from the FLTCIP, 2003. |
C. Experience with the Application Process and Exposure
to Promotional Materials
Given some of the major differences in education level and the fact that
the program was national in scope, one might have expected differences across
geographic region in peoples' experience with the application process. In a
prior brief, we demonstrated that non-buyers had a more difficult time
understanding the application materials and getting their questions answered
than did buyers. This finding holds true across all geographic regions.
However, among active buyers, those in the Washington, D.C. area seemed to have
an easier time understanding the application and also found it easier to obtain
answers to their questions about the program (see Figure
5).
Figure 5: Active
Buyers Experience with Application Process by Geographic Region |
|
Source: Analysis of data from the FLTCIP, 2003. |
The program sponsors -- Long Term Care Partners -- invested significant
resources in the marketing and education campaign. They did so through
sponsorship of a variety of promotional activities such as educational
meetings, satellite broadcasts, advertisements, articles, brochures, web sites,
toll-free numbers, and more. This was done to assure maximum exposure to the
program. As outlined in a previous brief, we found that non-buyers were less
likely to have actively engaged in activities designed to educate and reinforce
the need for insurance protection against the cost of LTC. This is fairly
typical across the geographic regions. The extent of non-buyer exposure to
educational activities does not vary by geographic region except when it comes
to visiting the website and reading articles about the program; non-buyers in
Washington, D.C. are far more likely to have visited the website (62%) than are
non-buyers elsewhere (34%). They are also more likely to have read newspaper
articles about the program than non-buyers elsewhere -- 57% compared to 29%.
The same can be said of buyers: for the most part, exposure does not
vary by geographic region. The exception is that compared to buyers in the West
and in the D.C. area, those in the East are the least likely to talk to federal
colleagues about the program. On the other hand, they are more likely to have
read newspaper articles than non-buyers elsewhere. There are few significant
variations in exposure by geographic region for the retiree population. Again,
retirees living in Washington, D.C. are far more likely to have read newspaper
articles about the program than retirees elsewhere.
V. CONCLUSIONS
For the most part, there are few geographic differences in the attitudes
and opinions of buyers and non-buyers of the federal program regarding
retirement planning and LTC. There are, however, a number of important
socio-demographic differences (i.e., those living in the Washington, D.C. area
tend to be more highly educated and wealthier), as well as those relating to
experience with LTC, especially among retirees. Retirees in the D.C. area have
more experience caregiving and are more likely to either know someone who has
had, or to have personally experienced, financial hardship as a result of LTC.
Non-buyers in the Washington, D.C. area are also more likely to have
purchased a LTC insurance policy not sponsored by the Federal Government than
non-buyers in other areas of the country. Moreover, the fact that a meaningful
proportion of non-buyers in the East and West who had purchased other policies
had not even heard of the federal program, suggests that the marketing campaign
may not have been as effective in these areas. This is somewhat supported by
the finding that non-buyers outside of Washington, D.C. are also less likely to
have been involved in certain promotional activities.
The analysis presented here has focused to a large extent on observed
differences between geographic regions on selected variables. It is important
to note that on the vast majority of parameters examined, geography is not a
particularly important variable.
Notes for Tables
All significance tests are based on 5% level or better. Notations for
significance are as follows: If one category out of three contains the symbol
(*), then the category starred is statistically different from each of the
other two categories, but the non-starred categories are not different from
each other. If two categories out of the three contain the symbol (*), then
those two categories are statistically different from each other, but each of
those categories is not statistically different from the third one. If all
three categories contain the symbol (*), then all three are statistically
different from each other.
Unless otherwise specified, only the response category that has a
notation of significance was tested against all other categories. In some
cases, it was determined that a combination of categories would be tested.
These are indicated in the footnotes. It also may be the case that if
categories were or were not combined, it could change the results of the test
of significance.
Unless otherwise indicated, the first response category (i.e., strongly
agree, very important, very likely, etc.) or the yes response was tested.
Therefore, if there are no notations for significance, the test was not
significant at the 5% level.
TABLE A-1: Socio-Demographic
Characteristics of Active Buyers and Non-Buyers by Geographic Location (D.C.
vs. East vs. West) |
Socio-Demographic Characteristics |
Active Buyers DC |
Active Buyers East |
Active Buyers West |
Active Non-Buyers DC |
Active Non-Buyers East |
Active Non-Buyers West |
Average age |
53 |
52 |
54 |
52 |
54 |
54 |
Less
than 50 |
27 |
31 |
22 |
40 |
30 |
32 |
50 to
54 |
26 |
23 |
26 |
24 |
26 |
23 |
55 to
59 |
27 |
26 |
25 |
18 |
20 |
20 |
60 to
64 |
13 |
15 |
18 |
8 |
9 |
13 |
65 and
over |
7 |
5 |
9 |
10 |
15 |
12 |
Gender |
Male |
46 |
50 |
53 |
57 |
60 |
58 |
Female |
54 |
50 |
47 |
43 |
40 |
42 |
Marital
status |
Never
Married |
22 |
17 |
13 |
11 |
9 |
9 |
Married |
57 |
61 |
59 |
70 |
66 |
73 |
Divorced/separated |
15 |
15 |
24 |
16 |
20 |
14 |
Widowed |
4 |
5 |
3 |
2 |
4 |
3 |
Domestic Partner |
2 |
2 |
1 |
1 |
1 |
1 |
Presence of
children living within 25 miles |
Yes |
41 |
43 |
42 |
53 |
63 |
59 |
No |
59 |
57 |
58 |
47 |
37 |
41 |
Education
level |
Less
than high graduate |
0 |
0 |
0 |
0 |
1 |
0 |
High
school graduate |
4 |
9 |
4 |
7 |
17 |
12 |
Technical/ trade/ business school |
2 |
4 |
7 |
5 |
7 |
4 |
Some
college |
15 |
20 |
25 |
23 |
28 |
37 |
College
graduate1 |
36 |
79* |
34 |
67 |
39 |
64 |
20 |
65* |
29 |
47 |
29 |
47 |
Graduate degree |
43 |
33 |
25 |
45 |
18 |
18 |
Average
income2 |
$98,261* |
$81,714 |
$81,709 |
$92,386* |
$70,692 |
$69,603 |
Less
than $15,000 |
0 |
0 |
0 |
0 |
1 |
1 |
$15,000
to $24,999 |
0 |
1 |
1 |
1 |
1 |
1 |
$25,000
to $34,999 |
3 |
3 |
3 |
3 |
4 |
7 |
$35,000
to $39,999 |
1 |
2 |
2 |
2 |
7 |
7 |
$40,000
to $49,999 |
2 |
11 |
10 |
5 |
15 |
16 |
$50,000
to $59,999 |
3 |
12 |
11 |
8 |
15 |
12 |
$60,000
to $69,999 |
10 |
10 |
12 |
7 |
10 |
11 |
$70,000
to $74,999 |
7 |
8 |
8 |
5 |
7 |
7 |
$75,000
to $99,999 |
21 |
23 |
24 |
20 |
22 |
18 |
$100,000 to $124,999 |
17 |
15 |
13 |
23 |
10 |
14 |
$125,000 or more |
36 |
15 |
16 |
26 |
8 |
6 |
Average liquid
assets2 |
$184,919 |
$190,856 |
$225,833 |
$180,920 |
$162,053 |
$153,378 |
Less
than $10,000 |
4 |
9 |
7 |
13 |
18 |
17 |
$10,000
to $19,999 |
3 |
3 |
4 |
5 |
10 |
7 |
$20,000
to $29,999 |
5 |
6 |
4 |
3 |
8 |
8 |
$30,000
to $49,999 |
10 |
8 |
12 |
9 |
13 |
12 |
$50,000
to $74,999 |
7 |
12 |
19 |
8 |
14 |
11 |
$75,000
to $99,999 |
8 |
10 |
5 |
6 |
7 |
9 |
$100,000 to $124,999 |
8 |
9 |
9 |
7 |
7 |
8 |
$125,000 to $149,999 |
4 |
7 |
5 |
8 |
4 |
6 |
$150,000 to $199,999 |
13 |
6 |
9 |
3 |
5 |
4 |
$200,000 to $249,999 |
10 |
10 |
9 |
2 |
3 |
6 |
$250,000 and above |
28 |
20 |
17 |
36 |
11 |
12 |
Home
ownership |
Yes |
90 |
91 |
90 |
87 |
83 |
89 |
No |
10 |
9 |
10 |
13 |
17 |
11 |
- Here, having a college degree or better is
tested for significance against not having a college degree.
- Averages were calculated by taking the
midpoints of the ranges.
|
TABLE A-2: Socio-Demographic
Characteristics of Retired Buyers and Non-Buyers by Geographic Location (D.C.
vs. East vs. West) |
Socio-Demographic Characteristics |
Retired Buyers DC |
Retired Buyers East |
Retired Buyers West |
Retired Non-Buyers DC |
Retired Non-Buyers East |
Retired Non-Buyers West |
Average age |
65* |
66 |
66* |
70 |
71 |
72 |
Less
than 50 |
3 |
1 |
1 |
3 |
2 |
2 |
50 to
54 |
3 |
4 |
2 |
5 |
3 |
2 |
55 to
59 |
18 |
13 |
12 |
10 |
7 |
7 |
60 to
64 |
23 |
24 |
25 |
8 |
14 |
10 |
65 and
over |
53 |
58 |
60 |
74 |
74 |
79 |
Gender |
Male |
71 |
71 |
69 |
68 |
71 |
79 |
Female |
29 |
29 |
31 |
32 |
29 |
21 |
Marital
status |
Never
Married |
9 |
9 |
8 |
4 |
5 |
3 |
Married |
71 |
67 |
69 |
67 |
69 |
73 |
Divorced/separated |
8 |
8 |
11 |
10 |
9 |
7 |
Widowed |
10 |
14 |
11 |
19 |
17 |
17 |
Domestic Partner |
2 |
2 |
1 |
0 |
0 |
0 |
Presence of
children living within 25 miles |
Yes |
59* |
52 |
48* |
60 |
55 |
54 |
No |
42 |
48 |
52 |
40 |
45 |
46 |
Education
level |
Less
than high graduate |
0 |
2 |
0 |
0 |
4 |
5 |
High
school graduate |
11 |
18 |
13 |
12 |
19 |
16 |
Technical/ trade/ business school |
4 |
6 |
5 |
7 |
8 |
8 |
Some
college |
17 |
21 |
24 |
31 |
26 |
32 |
College
graduate1 |
35* |
28* |
31 |
32 |
24 |
23 |
Graduate degree |
33 |
25 |
27 |
18 |
19 |
16 |
Average
income2 |
$79,825* |
$62,330 |
$59,547 |
$63,918* |
$49,522 |
$47,304 |
Less
than $15,000 |
1 |
1 |
0 |
2 |
3 |
5 |
$15,000
to $24,999 |
1 |
3 |
4 |
6 |
12 |
16 |
$25,000
to $34,999 |
2 |
11 |
10 |
9 |
15 |
10 |
$35,000
to $39,999 |
4 |
10 |
9 |
12 |
13 |
17 |
$40,000
to $49,999 |
12 |
15 |
17 |
12 |
18 |
16 |
$50,000
to $59,999 |
13 |
14 |
18 |
9 |
11 |
13 |
$60,000
to $69,999 |
10 |
13 |
12 |
7 |
7 |
9 |
$70,000
to $74,999 |
6 |
9 |
7 |
12 |
5 |
2 |
$75,000
to $99,999 |
19 |
16 |
15 |
19 |
12 |
6 |
$100,000 to $124,999 |
17 |
6 |
4 |
3 |
2 |
4 |
$125,000 or more |
15 |
4 |
4 |
9 |
2 |
2 |
Average liquid
assets2 |
$126,798 |
$204,151 |
$212,063 |
$181,607 |
$170,558 |
$162,813 |
Less
than $10,000 |
4 |
3 |
4 |
3 |
12 |
12 |
$10,000
to $19,999 |
1 |
4 |
3 |
7 |
5 |
7 |
$20,000
to $29,999 |
2 |
2 |
4 |
6 |
6 |
8 |
$30,000
to $49,999 |
6 |
9 |
7 |
10 |
12 |
13 |
$50,000
to $74,999 |
9 |
9 |
10 |
7 |
10 |
8 |
$75,000
to $99,999 |
7 |
9 |
6 |
7 |
7 |
5 |
$100,000 to $124,999 |
9 |
7 |
8 |
10 |
7 |
4 |
$125,000 to $149,999 |
4 |
6 |
6 |
4 |
5 |
5 |
$150,000 to $199,999 |
6 |
8 |
11 |
9 |
7 |
8 |
$200,000 to $249,999 |
8 |
7 |
8 |
4 |
5 |
8 |
$250,000 and above |
44 |
36 |
33 |
33 |
24 |
22 |
Home
ownership |
Yes |
94 |
92 |
92 |
90 |
90 |
91 |
No |
6 |
8 |
8 |
10 |
10 |
9 |
- Here, having a college degree or better is
tested for significance against not having a college degree.
- Averages were calculated by taking the
midpoints of the ranges.
|
TABLE A-3: Attitudes and Opinions
About Retirement Planning and Long-Term Care Among Active Buyers and Non-Buyers
by Geographic Location (D.C. vs. East vs. West) |
Attitudes and Opinions |
Active Buyers DC |
Active Buyers East |
Active Buyers West |
Active Non-Buyers DC |
Active Non-Buyers East |
Active Non-Buyers West |
Determined
how much to save to live comfortably in retirement |
Yes, a
definite sense1 |
25 |
20 |
21 |
14 |
17 |
15 |
Yes, a
general sense |
56 |
62 |
62 |
61 |
44 |
53 |
No |
18 |
17 |
16 |
22 |
36 |
31 |
Do not
plan to retire |
1 |
1 |
1 |
3 |
3 |
1 |
Thought given
to paying for LTC expenses |
A great
deal |
65 |
63 |
59 |
25 |
21 |
21 |
Some |
32 |
33 |
37 |
54 |
50 |
49 |
Not
much thought |
3 |
4 |
4 |
21 |
21 |
26 |
No
thought at all |
0 |
0 |
0 |
0 |
8 |
4 |
How important
is LTC insurance to retirement planning |
Very
important |
61 |
61 |
60 |
24 |
26 |
23 |
Somewhat important |
36 |
36 |
38 |
57 |
51 |
56 |
Not
very important |
3 |
2 |
2 |
13 |
19 |
12 |
Not at
all important |
0 |
0 |
0 |
1 |
0 |
2 |
Have
not started planning |
0 |
1 |
0 |
5 |
4 |
7 |
LTC insurance
programs sold today will cover the cost of LTC services needed in the
future |
Strongly agree |
10 |
9 |
9 |
1 |
2 |
5 |
Agree |
74 |
71 |
72 |
47 |
34 |
38 |
Disagree |
13 |
17 |
17 |
42 |
53 |
49 |
Strongly disagree |
3 |
3 |
2 |
10 |
11 |
8 |
How would LTC
costs be paid2 |
Medicaid |
1 |
4 |
2 |
3 |
3 |
4 |
Medicare |
7 |
10 |
8 |
5 |
11 |
10 |
Medigap
Supplement Policy |
1 |
2 |
1 |
0 |
1 |
0 |
Own
health insurance or retiree health care plan |
24 |
23 |
23 |
35 |
30 |
35 |
Own
income |
39 |
35 |
38 |
35* |
23 |
19* |
Children will help pay |
1 |
1 |
1 |
0 |
0 |
1 |
Other |
3 |
2 |
3 |
4 |
4 |
2 |
LTC
insurance |
6 |
7 |
6 |
1 |
1 |
3 |
Don't
know3 |
18 |
16 |
18 |
17 |
27 |
24 |
- Here, having a general or a definite sense of
how much needs to be saved were combined and tested as a single yes response.
Those who did not plan to retire were removed from the analysis.
- Active buyers were asked whether they worried
about how to pay for LTC services before they purchased the FLTCIP and how they
would pay for LTC in the absence of their LTC policy.
- This response category was tested for
significance and it was found not to be significant.
|
TABLE A-4: Attitudes and Opinions
About Retirement Planning and Long-Term Care Among Retired Buyers and
Non-Buyers by Geographic Location (D.C. vs. East vs. West) |
Attitudes and Opinions |
Retired Buyers DC |
Retired Buyers East |
Retired Buyers West |
Retired Non-Buyers DC |
Retired Non-Buyers East |
Retired Non-Buyers West |
Determined
how much to save to live comfortably in retirement |
Yes, a
definite sense1 |
32 |
28 |
25 |
18 |
15 |
19 |
Yes, a
general sense |
51 |
59 |
61 |
47 |
58 |
50 |
No |
17 |
13 |
14 |
35 |
27 |
31 |
Thought given
to paying for LTC expenses |
A great
deal |
68 |
68 |
62 |
27 |
25 |
28 |
Some |
30 |
30 |
35 |
53 |
59 |
52 |
Not
much thought |
2 |
2 |
2 |
18 |
12 |
18 |
No
thought at all |
0 |
0 |
1 |
2 |
4 |
2 |
How important
is LTC insurance to retirement planning |
Very
important |
58 |
62 |
55 |
14 |
21 |
21 |
Somewhat important |
40 |
37 |
41 |
47 |
42 |
48 |
Not
very important |
2 |
1 |
4 |
23 |
24 |
19 |
Not at
all important |
0 |
0 |
0 |
8 |
6 |
3 |
Have
not started planning |
0 |
0 |
0 |
8 |
7 |
9 |
LTC insurance
programs sold today will cover the cost of LTC services needed in the
future |
Strongly agree |
8 |
13* |
8* |
6 |
3 |
3 |
Agree |
72 |
67 |
70 |
29 |
32 |
34 |
Disagree |
19 |
18 |
19 |
47 |
47 |
47 |
Strongly disagree |
1 |
2 |
3 |
18 |
18 |
16 |
How would LTC
costs be paid2 |
Medicaid |
2 |
2 |
1 |
2 |
3 |
1 |
Medicare |
6 |
5 |
7 |
13 |
14 |
16 |
Medigap
Supplement Policy |
0 |
1 |
1 |
2 |
2 |
2 |
Own
health insurance or retiree health care plan |
14 |
16 |
17 |
30 |
22 |
18 |
Own
income |
62 |
57 |
54 |
43 |
42 |
42 |
Children will help pay |
0 |
0 |
0 |
0 |
1 |
0 |
Other |
1 |
2 |
2 |
4 |
2 |
2 |
LTC
insurance |
8 |
9 |
9 |
0 |
1 |
2 |
Don't
know3 |
7 |
8 |
9 |
6 |
13 |
17 |
- Here, having a general or a definite sense of
how much needs to be saved were combined and tested as a single yes response.
Those who did not plan to retire were removed from the analysis.
- Retired buyers were asked whether they worried
about how to pay for LTC services before they purchased the FLTCIP and how they
would pay for LTC in the absence of their LTC policy.
- This response category was tested for
significance and it was found not to be significant.
|
TABLE A-5: Experience with Long-Term
Care Among Active Buyers and Non-Buyers by Geographic Location (D.C. vs. East
vs. West) |
Experiences with LTC |
Active Buyers DC |
Active Buyers East |
Active Buyers West |
Active Non-Buyers DC |
Active Non-Buyers East |
Active Non-Buyers West |
Parent needed
LTC |
Yes |
43 |
41 |
43 |
53 |
48 |
41 |
No |
57 |
59 |
57 |
47 |
52 |
59 |
The repondent
has been a caregiver |
Yes |
24 |
32 |
24 |
17 |
24 |
28 |
No |
76 |
68 |
76 |
83 |
76 |
72 |
The
respondent knew someone who used most of his/her assets to pay for
LTC |
Yes |
45* |
58* |
55 |
44 |
47 |
52 |
No |
55 |
42 |
46 |
56 |
53 |
48 |
The
respondent has experienced financial hardship as a result of caring for an
elderly relative |
Yes |
4 |
10 |
5 |
3 |
11 |
9 |
No |
96 |
90 |
95 |
97 |
89 |
91 |
The
respondent knew someone who has experienced financial hardship as a result of
caring for an elderly relative |
Yes |
32* |
49 |
48 |
34 |
41 |
44 |
No |
68 |
51 |
52 |
66 |
59 |
56 |
TABLE A-6: Experience with Long-Term
Care Among Retired Buyers and Non-Buyers by Geographic Location (D.C. vs. East
vs. West) |
Experiences with LTC |
Retired Buyers DC |
Retired Buyers East |
Retired Buyers West |
Retired Non-Buyers DC |
Retired Non-Buyers East |
Retired Non-Buyers West |
Parent needed
LTC |
Yes |
34 |
39 |
43 |
49 |
49 |
52 |
No |
66 |
61 |
57 |
51 |
51 |
48 |
The repondent
has been a caregiver |
Yes |
28 |
39* |
24 |
39 |
43 |
32 |
No |
72 |
61 |
76 |
61 |
57 |
68 |
The
respondent knew someone who used most of his/her assets to pay for
LTC |
Yes |
60 |
59 |
51* |
49 |
52 |
51 |
No |
40 |
41 |
49 |
51 |
48 |
49 |
The
respondent has experienced financial hardship as a result of caring for an
elderly relative |
Yes |
4 |
7* |
3* |
4 |
12 |
7 |
No |
96 |
93 |
97 |
96 |
88 |
93 |
The
respondent knew someone who has experienced financial hardship as a result of
caring for an elderly relative |
Yes |
37 |
42* |
33* |
33 |
37 |
38 |
No |
63 |
58 |
67 |
67 |
63 |
62 |
TABLE A-7: Self-Assessed Risk of
Needing LTC Among Active Buyers and Non-Buyers by Geographic Location (D.C. vs.
East vs. West) |
Type of LTC |
Active Buyers DC |
Active Buyers East |
Active Buyers West |
Active Non-Buyers DC |
Active Non-Buyers East |
Active Non-Buyers West |
How likely is it that: |
a) the
respondent thinks he/she will need help with everyday activities such as
bathing and dressing |
Very
likely |
10 |
12 |
14 |
5 |
12 |
10 |
Likely |
19 |
16 |
15 |
9 |
15 |
14 |
Somewhat likely |
40 |
45 |
46 |
36 |
35 |
35 |
Not
very likely |
25 |
23 |
21 |
38 |
30 |
28 |
Not at
all likely |
6 |
4 |
4 |
12 |
8 |
13 |
b) the
respondent thinks he/she will need home care services for more than three
months |
Very
likely |
12 |
15 |
13 |
5 |
11 |
9 |
Likely |
19 |
16 |
21 |
11 |
15 |
14 |
Somewhat likely |
45 |
49 |
41 |
43 |
37 |
38 |
Not
very likely |
21 |
16 |
22 |
29 |
30 |
28 |
Not at
all likely |
3 |
4 |
3 |
12 |
7 |
11 |
c) the
respondent thinks he/she will need nursing home care for more than three
months |
Very
likely |
11 |
13 |
13 |
8 |
11 |
9 |
Likely |
17 |
17 |
16 |
9 |
13 |
16 |
Somewhat likely |
41 |
43 |
42 |
40 |
32 |
32 |
Not
very likely |
25 |
20 |
24 |
31 |
34 |
29 |
Not at
all likely |
6 |
7 |
5 |
12 |
10 |
14 |
d) the
respondent thinks he/she will need care provided in assisted living facility
for more than three months |
Very
likely |
16 |
17 |
16 |
13 |
12 |
9 |
Likely |
21 |
21 |
22 |
16 |
16 |
17 |
Somewhat likely |
43 |
41 |
37 |
42 |
34 |
35 |
Not
very likely |
17 |
16 |
22 |
21 |
29 |
28 |
Not at
all likely |
3 |
5 |
3 |
8 |
9 |
11 |
TABLE A-8: Self-Assessed Risk of
Needing LTC Among Retired Buyers and Non-Buyers by Geographic Location (D.C.
vs. East vs. West) |
Type of LTC |
Retired Buyers DC |
Retired Buyers East |
Retired Buyers West |
Retired Non-Buyers DC |
Retired Non-Buyers East |
Retired Non-Buyers West |
How likely is it that: |
a) the
respondent thinks he/she will need help with everyday activities such as
bathing and dressing |
Very
likely |
4* |
9* |
7 |
6 |
14 |
13 |
Likely |
17 |
19 |
15 |
14 |
15 |
21 |
Somewhat likely |
47 |
47 |
43 |
32 |
40 |
37 |
Not
very likely |
24 |
20 |
28 |
33 |
26 |
20 |
Not at
all likely |
8 |
5 |
7 |
14 |
5 |
9 |
b) the
respondent thinks he/she will need home care services for more than three
months |
Very
likely |
5 |
7 |
7 |
6 |
12 |
13 |
Likely |
20 |
20 |
15 |
15 |
16 |
20 |
Somewhat likely |
49 |
47 |
47 |
39 |
40 |
38 |
Not
very likely |
19 |
21 |
24 |
23 |
26 |
20 |
Not at
all likely |
7 |
5 |
7 |
17 |
6 |
9 |
c) the
respondent thinks he/she will need nursing home care for more than three
months |
Very
likely |
4 |
7 |
6 |
6 |
12 |
11 |
Likely |
17 |
18 |
14 |
12 |
14 |
14 |
Somewhat likely |
43 |
45 |
44 |
43 |
35 |
37 |
Not
very likely |
28 |
25 |
27 |
14 |
31 |
27 |
Not at
all likely |
8 |
5 |
9 |
25 |
8 |
11 |
d) the
respondent thinks he/she will need care provided in assisted living facility
for more than three months |
Very
likely |
7 |
10 |
8 |
4 |
13 |
10 |
Likely |
21 |
20 |
20 |
16 |
15 |
13 |
Somewhat likely |
47 |
46 |
44 |
35 |
36 |
45 |
Not
very likely |
18 |
19 |
22 |
27 |
28 |
22 |
Not at
all likely |
7 |
5 |
6 |
18 |
8 |
10 |
TABLE A-9: Opinions about Long-Term
Care Insurance Among Active Buyers by Geographic Location (D.C. vs. East vs.
West) |
Opinions about LTC Insurance |
Active Buyers DC |
Active Buyers East |
Active Buyers West |
What % of
your expenses do you expect your LTC insurance to pay |
100% |
12 |
17 |
9 |
61%-99% |
67 |
67 |
70 |
40%-60% |
19 |
13 |
17 |
35%-39% |
1 |
2 |
4 |
<25% |
1 |
1 |
0 |
TABLE A-10: Opinions about Long-Term
Care Insurance Among Retired Buyers by Geographic Location (D.C. vs. East vs.
West) |
Opinions about LTC Insurance |
Retired Buyers DC |
Retired Buyers East |
Retired Buyers West |
What % of
your expenses do you expect your LTC insurance to pay |
100% |
8 |
10 |
6 |
61%-99% |
65 |
66 |
70 |
40%-60% |
24 |
20 |
19 |
35%-39% |
3 |
3 |
4 |
<25% |
0 |
1 |
1 |
TABLE A-11: Opinions about Long-Term
Care Insurance Among Active Non-Buyers by Geographic Location (D.C. vs. East
vs. West) |
Opinions about LTC Insurance |
Active Non-Buyers DC |
Active Non-Buyers East |
Active Non-Buyers West |
Do you
currently have LTC insurance |
Yes |
19* |
8* |
10 |
No |
81 |
92 |
90 |
Did you buy
your LTC insurance after you heard about the FLTCIP1 |
Yes2 |
72* |
46 |
31* |
No |
28 |
37 |
44 |
I did
not know about the FLTCIP |
0 |
17 |
25 |
- This question was only asked of those people
who stated that they currently had LTC insurance; therefore the percentage of
people who said they did not know about the FLTCIP are only of those non-buyers
and non-responders who have LTC insurance.
- The distribution for this question is based on
the answers of 18 Active Non-Buyers in the D.C. area, 30 Active Non-Buyers in
the East and 32 Active Non-Buyers in the West.
|
TABLE A-12: Opinions about Long-Term
Care Insurance Among Retired Non-Buyers by Geographic Location (D.C. vs. East
vs. West) |
Opinions about LTC Insurance |
Retired Non-Buyers DC |
Retired Non-Buyers East |
Retired Non-Buyers West |
Do you
currently have LTC insurance |
Yes |
30 |
18 |
19 |
No |
70 |
82 |
81 |
Did you buy
your LTC insurance after you heard about the FLTCIP1 |
Yes2 |
7 |
15 |
14 |
No |
79 |
58 |
55 |
I did
not know about the FLTCIP |
14 |
27 |
31 |
- This question was only asked of those people
who stated that they currently had LTC insurance; therefore the percentage of
people who said they did not know about the FLTCIP are only of those non-buyers
and non-responders who have LTC insurance.
- The distribution for this question is based on
the answers of 29 Retired Non-Buyers in the D.C. area, 90 Retired Non-Buyers in
the East and 100 Retired Non-Buyers in the West.
|
TABLE A-13: Decision Making Process
of Active Buyers by Geographic Location (D.C. vs. East vs.
West) |
Decision Making Process |
Active Buyers DC |
Active Buyers East |
Active Buyers West |
I considered
buynig LTC insurance prior to the federal offering |
Yes |
57 |
56 |
61 |
No |
43 |
44 |
39 |
I would have
bought LTC insurance if the Federal Government had not offered it |
Yes |
34 |
32 |
33 |
No |
15 |
17 |
17 |
Not
sure |
51 |
51 |
50 |
TABLE A-14: Decision Making Process
of Retired Buyers by Geographic Location (D.C. vs. East vs.
West) |
Decision Making Process |
Active Buyers DC |
Active Buyers East |
Active Buyers West |
I considered
buynig LTC insurance prior to the federal offering |
Yes |
67 |
75 |
72 |
No |
33 |
25 |
28 |
I would have
bought LTC insurance if the Federal Government had not offered it |
Yes |
40 |
44 |
40 |
No |
12 |
13 |
14 |
Not
sure |
48 |
43 |
46 |
TABLE A-15: Decision Making Process
of Active Non-Buyers by Geographic Location (D.C. vs. East vs.
West) |
Decision Making Process |
Active Non-Buyers DC |
Active Non-Buyers East |
Active Non-Buyers West |
How seriously
was buying the FLTCIP considered |
Very
seriously |
39 |
33 |
33 |
Somewhat seriously |
41 |
42 |
40 |
Not
very seriously |
13 |
16 |
16 |
Not
seriously at all |
7 |
5 |
6 |
Did not
consider |
0 |
4 |
5 |
How likely
did you think it was that you would buy the FLTCIP when you requested the
application |
Very
likely |
18 |
18 |
17 |
Likely |
57 |
52 |
50 |
Not
very likely |
25 |
28 |
30 |
Not at
all likely |
0 |
2 |
3 |
TABLE A-16: Decision Making Process
of Retired Non-Buyers by Geographic Location (D.C. vs. East vs.
West) |
Decision Making Process |
Retired Non-Buyers DC |
Retired Non-Buyers East |
Retired Non-Buyers West |
How seriously
was buying the FLTCIP considered |
Very
seriously |
32 |
25 |
24 |
Somewhat seriously |
38 |
39 |
36 |
Not
very seriously |
15 |
20 |
22 |
Not
seriously at all |
7 |
5 |
7 |
Did not
consider |
8 |
11 |
11 |
How likely
did you think it was that you would buy the FLTCIP when you requested the
application |
Very
likely |
13 |
13 |
8 |
Likely |
41 |
44 |
43 |
Not
very likely |
42 |
36 |
44 |
Not at
all likely |
4 |
7 |
5 |
TABLE A-17: Experience with the
Application Process Among Active Buyers and Non-Buyers by Geographic Location
(D.C. vs. East vs. West) |
Experience with the Application Process |
Active Buyers DC |
Active Buyers East |
Active Buyers West |
Active Non-Buyers DC |
Active Non-Buyers East |
Active Non-Buyers West |
Was the following easy/difficult for you: |
a) getting an
application1 |
Did not
get an application |
0 |
0 |
0 |
14 |
21 |
25 |
Did get
an application |
100 |
100 |
100 |
86 |
79 |
75 |
Easy to
get an application |
98 |
99 |
97 |
99 |
94 |
97 |
Difficult to get an application |
2 |
1 |
3 |
1 |
6 |
3 |
b)
understanding the application1 |
Did not
attempt to understand the application |
0 |
0 |
0 |
27 |
32 |
35 |
Did
attempt to understand the application |
100 |
100 |
100 |
73 |
68 |
65 |
Easy to
understand the application |
97* |
91* |
94 |
80 |
70 |
76 |
Difficult to understand the application |
3 |
9 |
6 |
20 |
30 |
24 |
c) answering
health questions1 |
Did not
answer health questions |
0 |
0 |
0 |
42 |
38 |
44 |
Did
answer health questions |
100 |
100 |
100 |
58 |
62 |
56 |
Easy to
answer health questions |
99 |
97 |
98 |
83 |
76 |
81 |
Difficult to answer health questions |
1 |
3 |
2 |
17 |
24 |
19 |
d) reading
the application materials1 |
Did not
read the application materials |
0 |
0 |
0 |
30 |
31 |
31 |
Did
read the application materials |
100 |
100 |
100 |
70 |
69 |
69 |
Easy to
read the application materials |
88 |
84 |
82 |
74 |
67 |
70 |
Difficult to read the application
materials |
12 |
16 |
18 |
26 |
33 |
30 |
Easy/difficult to obtain answers to questions about the federal
program |
Very
easy |
40* |
29 |
28* |
23 |
17 |
22 |
Easy |
56 |
65 |
63 |
56 |
52 |
48 |
Difficult |
3 |
4 |
8 |
15 |
28 |
24 |
Very
difficult |
1 |
2 |
1 |
6 |
3 |
6 |
- The responses for "easy" and "difficult" are
calculated on the basis of only those respondents who did the specific
activity.
|
TABLE A-18: Experience with the
Application Process Among Retired Buyers and Non-Buyers by Geographic Location
(D.C. vs. East vs. West) |
Experience with the Application Process |
Retired Buyers DC |
Retired Buyers East |
Retired Buyers West |
Retired Non-Buyers DC |
Retired Non-Buyers East |
Retired Non-Buyers West |
Was the following easy/difficult for you: |
a) getting an
application1 |
Did not
get an application |
0 |
0 |
0 |
23 |
25 |
34 |
Did get
an application |
100 |
100 |
100 |
77 |
75 |
66 |
Easy to
get an application |
100 |
98 |
98 |
96 |
96 |
96 |
Difficult to get an application |
0 |
2 |
2 |
4 |
4 |
4 |
b)
understanding the application1 |
Did not
attempt to understand the application |
0 |
0 |
0 |
31 |
30 |
39 |
Did
attempt to understand the application |
100 |
100 |
100 |
69 |
70 |
61 |
Easy to
understand the application |
93 |
95 |
93 |
80 |
75 |
78 |
Difficult to understand the application |
7 |
5 |
7 |
20 |
25 |
22 |
c) answering
health questions1 |
Did not
answer health questions |
0 |
0 |
0 |
38 |
39 |
48 |
Did
answer health questions |
100 |
100 |
100 |
62 |
61 |
52 |
Easy to
answer health questions |
93 |
92 |
90 |
80 |
76 |
75 |
Difficult to answer health questions |
7 |
8 |
10 |
20 |
24 |
25 |
d) reading
the application materials1 |
Did not
read the application materials |
0 |
0 |
0 |
31 |
34 |
44 |
Did
read the application materials |
100 |
100 |
100 |
69 |
66 |
56 |
Easy to
read the application materials |
84 |
86 |
82 |
73 |
74 |
66 |
Difficult to read the application
materials |
16 |
14 |
18 |
27 |
26 |
34 |
Easy/difficult to obtain answers to questions about the federal
program |
Very
easy |
30 |
40* |
31* |
22 |
15 |
15 |
Easy |
65 |
57 |
65 |
56 |
58 |
63 |
Difficult |
4 |
3 |
3 |
16 |
24 |
18 |
Very
difficult |
1 |
0 |
1 |
6 |
3 |
4 |
- The responses for "easy" and "difficult" are
calculated on the basis of only those respondents who did the specific
activity.
|
TABLE A-19: Awareness about the
Federal Program Among Retired Non-Responders by Geographic Location (D.C. vs.
East vs. West) |
Awareness about the Federal Program |
Retired Non-Responders DC |
Retired Non-Responders East |
Retired Non-Responders West |
Are you aware
that the Federal Government is sponsoring a LTC insurance program |
Yes |
46 |
29 |
32 |
No |
54 |
71 |
68 |
TABLE A-20: Exposure to Promotional
Activities Among Active Buyers and Non-Buyers by Geographic Location (DC vs.
East vs. West) |
Promotional Activities |
Active Buyers DC |
Active Buyers East |
Active Buyers West |
Active Non-Buyers DC |
Active Non-Buyers East |
Active Non-Buyers West |
Did you do any of the following: |
a) talk to
colleagues about the federal program1 |
Did not
talk to colleagues |
24* |
36* |
33 |
40 |
52 |
48 |
Did
talk to colleagues |
76 |
64 |
67 |
60 |
48 |
52 |
Found
it to be helpful |
78* |
73 |
65* |
50 |
59 |
57 |
Did not
find it to be helpful |
22 |
27 |
35 |
50 |
59 |
57 |
b) talk to
human resource representative1 |
Did not
talk to human resource representative |
80 |
87 |
82 |
73 |
83 |
81 |
Did
talk to human resource representative |
20 |
13 |
18 |
27 |
17 |
19 |
Found
it to be helpful2 |
84 |
80 |
85 |
64 |
81 |
62 |
Did not
find it to be helpful |
16 |
20 |
15 |
36 |
19 |
38 |
c) attend
educational meetings1 |
Did not
attend educational meetings |
56 |
65 |
58 |
52 |
68 |
69 |
Did not
know about the educational meetings |
2 |
7 |
6 |
7 |
10 |
15 |
Did
attend educational meetings |
42 |
28 |
36 |
41 |
22 |
16 |
Found
them to be helpful |
95 |
91 |
95 |
84* |
80 |
76 |
Did not
find them to be helpful |
5 |
9 |
5 |
16 |
20 |
24 |
d) view
satellite broadcasts1 |
Did not
view satellite broadcasts |
70 |
71 |
72 |
79 |
78 |
73 |
Did not
know about the satellite broadcasts |
9 |
11 |
10 |
11 |
16 |
17 |
Did
view satellite broadcasts |
21 |
18 |
18 |
10 |
6 |
10 |
Found
them to be helpful3 |
93 |
83 |
95 |
56 |
67 |
62 |
Did not
find them to be helpful |
7 |
17 |
5 |
44 |
33 |
38 |
e) read "Get
Smart About Your Future"1 |
Did not
read "Get Smart About Your Future" |
27 |
23 |
32 |
27 |
35 |
35 |
Did not
know about "Get Smart About Your Future" |
4 |
9 |
8 |
11 |
9 |
12 |
Did
read "Get Smart About Your Future" |
69 |
68 |
60 |
62 |
56 |
53 |
Found
it to be helpful |
95 |
94 |
96 |
81 |
86 |
90 |
Did not
find it to be helpful |
5 |
6 |
4 |
19 |
14 |
10 |
f) read
advertisements1 |
Did not
read advertisements |
46 |
40 |
42 |
31 |
41 |
37 |
Did not
know about the advertisements |
5 |
7 |
10 |
9 |
8 |
14 |
Did
read advertisements |
49 |
53 |
48 |
60 |
51 |
49 |
Found
them to be helpful |
86 |
89 |
93 |
66 |
80 |
75 |
Did not
find them to be helpful |
14 |
11 |
7 |
34 |
20 |
25 |
g) visit
websites describing the federal program1 |
Did not
visit websites describing the federal program |
20 |
26 |
29 |
34* |
58 |
51 |
Did not
know about the websites describing the federal program |
1 |
4 |
4 |
4 |
11 |
13 |
Did
visit websites describing the federal program |
79 |
70 |
67 |
62 |
31 |
36 |
Found
them to be helpful |
97 |
98 |
97 |
81 |
83 |
86 |
Did not
find them to be helpful |
3 |
2 |
3 |
19 |
17 |
14 |
h) read
banner ads1 |
Did not
read banner ads |
72 |
68 |
78 |
70 |
73 |
72 |
Did not
know about the banner ads |
10 |
16 |
11 |
9 |
16 |
17 |
Did
read banner ads |
18 |
16 |
11 |
21 |
11 |
11 |
Found
them to be helpful4 |
59 |
61 |
72 |
42 |
60 |
63 |
Did not
find them to be helpful |
41 |
39 |
28 |
58 |
40 |
37 |
i) read
newspaper articles1 |
Did not
read newspaper articles |
48* |
62 |
63 |
38* |
55 |
56 |
Did not
know about the newspaper articles |
4 |
10 |
9 |
5 |
15 |
16 |
Did
read newspaper articles |
48 |
28 |
28 |
57 |
30 |
28 |
Found
them to be helpful |
92 |
86 |
86 |
71 |
68 |
68 |
Did not
find them to be helpful |
8 |
14 |
14 |
29 |
32 |
32 |
j) read
general brochures1 |
Did not
read general brochures |
12 |
13 |
17 |
14 |
20 |
19 |
Did not
know the general brochures |
1 |
2 |
1 |
1 |
5 |
7 |
Did
read general brochures |
87 |
85 |
82 |
85 |
75 |
74 |
Found
them to be helpful |
97 |
95 |
99 |
82 |
83 |
81 |
Did not
find them to be helpful |
3 |
5 |
1 |
18 |
17 |
19 |
k) call
toll-free number1 |
Did not
call a toll-free number |
59 |
59 |
62 |
72 |
76 |
76 |
Did not
know about the toll-free number |
5 |
5 |
3 |
6 |
10 |
12 |
Did
call a toll-free number |
36 |
36 |
35 |
22 |
14 |
12 |
Found
it to be helpful5 |
93 |
96 |
94 |
75 |
75 |
64 |
Did not
find it to be helpful |
7 |
4 |
6 |
25 |
25 |
36 |
- The responses for "helpful" and "not helpful"
are calculated on the basis of only those respondents who did the specific
activity.
- The distribution for this question is based on
the answers of 37 Active Buyers in the DC area, 25 Active Buyers in the East
and 39 Active Buyers in the West. The distribution for this question is based
on the answers of 25 Active Non-Buyers in the DC area, 36 Active Non-Buyers in
the East and 37 Active Non-Buyers in the West.
- The distribution for this question is based on
the answers of nine Active Non-Buyers in the DC area, 15 Active Non-Buyers in
the East and 21 Active Non-Buyers in the West.
- The distribution for this question is based on
the answers of 32 Active Buyers in the DC area, 31 Active Buyers in the East
and 25 Active Buyers in the West. The distribution for this question is based
on the answers of 19 Active Non-Buyers in the DC area, 25 Active Non-Buyers in
the East and 24 Active Non-Buyers in the West.
- The distribution for this question is based on
the answers of 20 Active Non-Buyers in the DC area, 32 Active Non-Buyers in the
East and 25 Active Non-Buyers in the West.
|
TABLE A-21: Exposure to Promotional
Activities Among Retired Buyers and Non-Buyers by Geographic Location (DC vs.
East vs. West) |
Promotional Activities |
Retired Buyers DC |
Retired Buyers East |
Retired Buyers West |
Retired Non-Buyers DC |
Retired Non-Buyers East |
Retired Non-Buyers West |
Did you do any of the following: |
a) talk to
colleagues about the federal program1 |
Did not
talk to colleagues |
64* |
74 |
76 |
75 |
80 |
80 |
Did
talk to colleagues |
36 |
26 |
24 |
25 |
20 |
20 |
Found
it to be helpful2 |
85 |
79 |
75 |
67 |
69 |
64 |
Did not
find it to be helpful |
15 |
21 |
25 |
33 |
31 |
36 |
b) talk to
human resource representative1 |
Did not
talk to human resource representative |
97 |
97 |
97 |
94 |
97 |
96 |
Did
talk to human resource representative |
3 |
3 |
3 |
6 |
3 |
4 |
Found
it to be helpful3 |
83 |
100 |
82 |
50 |
57 |
50 |
Did not
find it to be helpful |
17 |
0 |
18 |
50 |
43 |
50 |
c) read "Get
Smart About Your Future"1 |
Did not
read "Get Smart About Your Future" |
26 |
26 |
30 |
37 |
42 |
39 |
Did not
know about "Get Smart About Your Future" |
8 |
6 |
6 |
13 |
12 |
12 |
Did
read "Get Smart About Your Future" |
66 |
68 |
64 |
50 |
46 |
49 |
Found
it to be helpful |
97 |
96 |
98 |
86 |
84 |
89 |
Did not
find it to be helpful |
3 |
4 |
2 |
14 |
16 |
11 |
d) read
advertisements1 |
Did not
read advertisements |
37 |
36 |
37 |
39 |
44 |
47 |
Did not
know about the advertisements |
5 |
3 |
5 |
10 |
12 |
10 |
Did
read advertisements |
58 |
61 |
58 |
51 |
44 |
43 |
Found
them to be helpful |
92 |
95 |
95 |
75 |
77 |
82 |
Did not
find them to be helpful |
8 |
5 |
5 |
25 |
23 |
18 |
e) visit
websites describing the federal program1 |
Did not
visit websites describing the federal program |
54 |
57 |
51 |
80 |
76 |
76 |
Did not
know about the websites describing the federal program |
3 |
4 |
4 |
7 |
12 |
11 |
Did
visit websites describing the federal program |
43 |
39 |
45 |
13 |
12 |
13 |
Found
them to be helpful4 |
97 |
97 |
96 |
100 |
90 |
86 |
Did not
find them to be helpful |
3 |
3 |
4 |
0 |
10 |
14 |
f) read
banner ads1 |
Did not
read banner ads |
86 |
86 |
84 |
87 |
82 |
81 |
Did not
know about the banner ads |
7 |
8 |
8 |
10 |
13 |
16 |
Did
read banner ads |
7 |
6 |
8 |
3 |
5 |
3 |
Found
them to be helpful5 |
53 |
68 |
82 |
50 |
64 |
57 |
Did not
find them to be helpful |
47 |
32 |
18 |
50 |
36 |
43 |
g) read
newspaper articles1 |
Did not
read newspaper articles |
39* |
64 |
64 |
42* |
52 |
61* |
Did not
know about the newspaper articles |
5 |
6 |
5 |
1 |
10 |
9 |
Did
read newspaper articles |
56 |
30 |
31 |
57 |
38 |
30 |
Found
them to be helpful |
94 |
93 |
90 |
83 |
65 |
76 |
Did not
find them to be helpful |
6 |
7 |
10 |
17 |
35 |
24 |
h) read
general brochures1 |
Did not
read general brochures |
10 |
13 |
13 |
27 |
26 |
25 |
Did not
know the general brochures |
1 |
1 |
2 |
0 |
7 |
6 |
Did
read general brochures |
89 |
86 |
85 |
73 |
67 |
69 |
Found
them to be helpful |
100 |
98 |
98 |
81 |
84 |
87 |
Did not
find them to be helpful |
0 |
2 |
2 |
19 |
16 |
13 |
i) call
toll-free number1 |
Did not
call a toll-free number |
61 |
56 |
53 |
84 |
77 |
80 |
Did not
know about the toll-free number |
2 |
1 |
3 |
3 |
9 |
7 |
Did
call a toll-free number |
37 |
43 |
44 |
13 |
14 |
13 |
Found
it to be helpful6 |
97 |
100* |
96* |
78 |
76 |
76 |
Did not
find it to be helpful |
3 |
0 |
4 |
22 |
24 |
24 |
- The responses for "helpful" and "not helpful"
are calculated on the basis of only those respondents who did the specific
activity.
- The distribution for this question is based on
the answers of 18 Retired Non-Buyers in the DC area, 45 Retired Non-Buyers in
the East and 44 Retired Non-Buyers in the West.
- The distribution for this question is based on
the answers of six Retired Buyers in the DC area, 12 Retired Buyers in the East
and 11 Retired Buyers in the West. The distribution for this question is based
on the answers of four Retired Non-Buyers in the DC area, seven Retired
Non-Buyers in the East and eight Retired Non-Buyers in the West.
- The distribution for this question is based on
the answers of nine Retired Non-Buyers in the DC area, 29 Retired Non-Buyers in
the East and 29 Retired Non-Buyers in the West.
- The distribution for this question is based on
the answers of 17 Retired Buyers in the DC area, 25 Retired Buyers in the East
and 34 Retired Buyers in the West. The distribution for this question is based
on the answers of two Retired Non-Buyers in the DC area, 11 Retired Non-Buyers
in the East and seven Retired Non-Buyers in the West.
- The distribution for this question is based on
the answers of nine Retired Non-Buyers in the DC area, 34 Retired Non-Buyers in
the East and 29 Retired Non-Buyers in the West.
|
TABLE A-22: Comparison of FLTCIP to
Other Programs Among Active Buyers by Geographic Location (D.C. vs. East vs.
West) |
Reasons for Buying |
Active Buyers DC |
Active Buyers East |
Active Buyers West |
Was the
FLTCIP compared to other programs |
Yes |
49 |
45 |
46 |
No |
51 |
55 |
54 |
Why was the FLTCIP purchased instead of a different
program |
a) lower
rates |
Yes |
25 |
33 |
35 |
No |
75 |
67 |
65 |
b) better
benefits |
Yes |
23 |
26 |
25 |
No |
77 |
74 |
75 |
c)
recommended by others |
Yes |
12 |
6 |
8 |
No |
88 |
94 |
92 |
d) easier to
qualify |
Yes |
45 |
38 |
39 |
No |
55 |
62 |
61 |
e) easier to
get benefits |
Yes |
11 |
17 |
17 |
No |
89 |
83 |
83 |
f) easier to
understand coverage |
Yes |
18 |
21 |
25 |
No |
82 |
79 |
75 |
g) Federal
Government sponsorship |
Yes |
73 |
69 |
78 |
No |
27 |
31 |
22 |
h)
underwritten by Long Term Care Partners |
Yes |
29 |
28 |
27 |
No |
71 |
72 |
73 |
TABLE A-23: Comparison of FLTCIP to
Other Programs Among Retired Buyers by Geographic Location (D.C. vs. East vs.
West) |
Reasons for Buying |
Retired Buyers DC |
Retired Buyers East |
Retired Buyers West |
Was the
FLTCIP compared to other programs |
Yes |
39* |
29* |
33 |
No |
61 |
71 |
67 |
Why was the FLTCIP purchased instead of a different
program |
a) lower
rates |
Yes |
31* |
48 |
47 |
No |
69 |
52 |
53 |
b) better
benefits |
Yes |
26* |
36* |
33 |
No |
74 |
64 |
67 |
c)
recommended by others |
Yes |
11* |
6 |
6 |
No |
89 |
94 |
94 |
d) easier to
qualify |
Yes |
19 |
22* |
13* |
No |
81 |
78 |
87 |
e) easier to
get benefits |
Yes |
7 |
9 |
6 |
No |
93 |
91 |
94 |
f) easier to
understand coverage |
Yes |
23 |
24* |
16* |
No |
77 |
76 |
84 |
g) Federal
Government sponsorship |
Yes |
87 |
86 |
81 |
No |
13 |
14 |
19 |
h)
underwritten by Long Term Care Partners |
Yes |
29* |
39* |
33 |
No |
71 |
61 |
67 |
TABLE A-24: Reasons for Not Buying
the Federal Program: ActiveNon-Buyers by Geographic Location (D.C. vs. East vs.
West) |
Reasons for Not Buying |
Active Non-Buyers DC |
Active Non-Buyers East |
Active Non-Buyers West |
Were the following reasons not to buy the FLTCIP: |
a) have other
insurance like FEHB |
Yes, a
reason |
11 |
11 |
17 |
No, not
a reason |
89 |
89 |
83 |
b) will buy
the FLTCIP later |
Yes, a
reason |
47 |
51 |
53 |
No, not
a reason |
53 |
49 |
47 |
c)
information about the FLTCIP too confusing |
Yes, a
reason |
17 |
23 |
23 |
No, not
a reason |
83 |
77 |
77 |
d) not happy
with the features of the FLTCIP |
Yes |
22 |
18 |
15 |
No |
78 |
82 |
85 |
TABLE A-25: Reasons for Not Buying
the Federal Program: Retired Non-Buyers by Geographic Location (D.C. vs. East
vs. West) |
Reasons for Not Buying |
Retired Non-Buyers DC |
Retired Non-Buyers East |
Retired Non-Buyers West |
Were the following reasons not to buy the FLTCIP: |
a) have other
insurance like FEHB |
Yes, a
reason |
24 |
18 |
18 |
No, not
a reason |
76 |
82 |
82 |
b) will buy
the FLTCIP later |
Yes, a
reason |
13 |
24 |
23 |
No, not
a reason |
87 |
76 |
77 |
c)
information about the FLTCIP too confusing |
Yes, a
reason |
13 |
22 |
19 |
No, not
a reason |
87 |
78 |
81 |
d) not happy
with the features of the FLTCIP |
Yes |
16 |
17 |
15 |
No |
84 |
83 |
85 |
TABLE A-26: Factors that Would Make
Active Non-Buyers More Interested in Buying the Federal Program by Geographic
Location (D.C. vs. East vs. West) |
Factors |
Active Non-Buyers DC |
Active Non-Buyers East |
Active Non-Buyers West |
More interested in buying the FLTCIP if: |
a) there were
more choices regarding the amount of home care coverage |
Agree |
50 |
60 |
59 |
Disagree |
50 |
40 |
41 |
b) there was
a guarantee that premiums will not increase in the future |
Agree |
76 |
85 |
84 |
Disagree |
24 |
15 |
16 |
c) there was
a premium discount for couples who purchase the program |
Agree |
64 |
67 |
66 |
Disagree |
36 |
33 |
34 |
d) premiums
were tax deductible |
Agree |
89 |
87 |
86 |
Disagree |
11 |
13 |
14 |
Three most
important factors that would make a non-buyer more interested in buying
|
Tax deductible premiums
|
32 |
37 |
33 |
A guarantee that premiums
will not increase in the future |
13 |
21 |
23 |
A premium discount for
couples who purchase the program |
20 |
19 |
17 |
TABLE A-27: Factors that Would Make
Retired Non-Buyers More Interested in Buying the Federal Program by Geographic
Location (D.C. vs. East vs. West) |
Factors |
Retired Non-Buyers DC |
Retired Non-Buyers East |
Retired Non-Buyers West |
More interested in buying the FLTCIP if: |
a) there were
more choices regarding the amount of home care coverage |
Agree |
55 |
59 |
60 |
Disagree |
45 |
41 |
40 |
b) there was
a guarantee that premiums will not increase in the future |
Agree |
69 |
77 |
78 |
Disagree |
31 |
23 |
22 |
c) there was
a premium discount for couples who purchase the program |
Agree |
65 |
61 |
63 |
Disagree |
35 |
39 |
37 |
d) premiums
were tax deductible |
Agree |
77 |
77 |
75 |
Disagree |
23 |
23 |
25 |
Three most
important factors that would make a non-buyer more interested in buying
|
Tax deductible premiums
|
25 |
25 |
22 |
A guarantee that premiums
will not increase in the future |
9 |
19 |
20 |
A premium discount for
couples who purchase the program |
25 |
16 |
18 |
This policy brief was prepared under
contract between the U.S. Department of Health and Human Services, Office of
the Assistant Secretary for Planning and Evaluation, Office of Disability,
Aging and Long-Term Care Policy (DALTCP) and Abt Associates. The brief was
written by LifePlans, Inc. For additional information on this subject, or to
view the other briefs in this series, you can visit the ASPE home page at
http://aspe.hhs.gov, the DALTCP home page at
http://aspe.hhs.gov/_/office_specific/daltcp.cfm
or contact the ASPE Project Officer, Hunter McKay, at HHS/ASPE/DALTCP, Room
424E, H.H. Humphrey Building, 200 Independence Avenue, S.W., Washington, D.C.
20201, Hunter.McKay@hhs.gov. |
Data Briefs on Federal
Long-Term Care Insurance Buyers/Non-Buyers |
A total of nine Data Briefs are available from the Office of Disability,
Aging and Long-Term Care on this subject: