Founded in San Francisco in the early 1900s, Transamerica has since become a leader in the insurance industry and beyond, offering everything from annuities and retirement solutions to life and long-term care insurance policies. The corporation is based in the United States but operates under the management of the Aegon Group, a multinational life insurer. Transamerica first entered the long-term care insurance market in the 1990s and today their LTC division has more than 300,000 policies in force and has paid a total of more than $2.5 billion in claims. Transamerica’s policies are backed by sound finances and extensive experience in the industry. They are licensed to sell insurance in all 50 states.
Long-Term Care Insurance Policies
Reviews.com rated Transamerica the best choice for affordable long-term care insurance. The corporation received this distinction because it offers a competitive cash alternative payout of up to 30% as well as small benefit amounts which allow policyholders to pay less in exchange for a smaller amount of coverage. Additionally, Transamerica has no yearly caps and uses a flexible “pool of money” model to define benefits, allowing policyholders to withdraw greater or lesser amounts of benefits according to their needs rather than receiving a set amount per unit of time. Valuable discounts are also available.
Transamerica is good for more than just affordability, too. Their policies are highly customizable, and customers can choose from a range of elimination periods, maximum daily benefits, and benefit approaches. Other notable features and options available with Transamerica’s policies include inflation protection, shared care, return of premium, waiver of premium, alternate care, and a zero-day waiting period for home care.
Reputation and Financial Strength
While not quite as strong as some of its competitors in the long-term care insurance industry, Transamerica still enjoys good financial strength scores from the four top independent rating agencies: A+ (superior) from both A.M. Best and Fitch Ratings, A1 (good) from Moody’s Investors Service, and AA- (very strong) from Standard & Poor’s. Ratings like these are important because a company’s financial strength helps to determine its ability to pay out future claims. However, in spite of this positive financial score, it is worth noting that many people have reported issues with Transamerica regarding increases in premiums and difficulties in getting the corporation to pay out benefits.
Be sure to take a look at our other articles to learn more about the various insurance companies offering long-term care policies. Remember – long-term care insurance policies and the companies that issue them can differ greatly, so it pays to do your research and shop around.
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