Private Long-term Care Insurance and the Asset Protection Motive

TitlePrivate Long-term Care Insurance and the Asset Protection Motive
Publication TypeJournal Article
Year of Publication2000
AuthorsMellor, JM
JournalThe Gerontologist
Volume40
Issue5
Pagination596-604
Call Numberpubs_2000_Mellor_JGer.pdf
KeywordsDemographics, End of life decisions, Healthcare, Medicare/Medicaid/Health Insurance, Methodology, Net Worth and Assets
Abstract

This research examined the role of assets in the decision to purchase insurance for long-term care using survey data from the Asset and Health Dynamics Among the Oldest Old (AHEAD) study. Previous research suggests that assets matter, but the size and direction of the effect varies. An important issue regarding the role of assets has not been explored adequately--whether the effect of assets differs between less wealthy and very wealthy individuals. A methodology to control for this type of variation is employed in this analysis. Results suggest that increases in assets have the greatest influence on the probability that less wealthy individuals own long-term care insurance, and have a negligible impact on the wealthy. This has important implications for policies designed to increase long-term care insurance ownership.

Endnote Keywords

Assets/Decision Making/Health Policy/Insurance, Long Term Care/Economics/Probability/Socioeconomic Factors/Support, U.S. Government--PHS/United States

Endnote ID

4115

Citation Key6690