Long-term care insurance valuation

Milliman has conducted its seventh triennial long-term care (LTC) insurance valuation survey. This year’s survey focused on 21 carriers in the individual LTC market. The objectives of this survey are to review and document the assumptions and methodologies related to the determination and testing of active life and disabled life reserves, as well as the asset strategies and investments backing the reserves. Additional topics include current LTC trends: predictive modeling, first principles assumptions, and long duration targeted improvement. The report is organized in three main sections: 

• Reserve testing
• Disabled life reserves
• Asset assumptions