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Asset Care Improvements & Repricing at OneAmerica

Welcome to 2025 and AgencyONE’s case design ONE Idea kick-off for the new year! Our October 2024 case design ONE Idea featured my interview with OneAmerica’s Regional Account Director for Care Solutions, Brian Shepard, CLTC, in which we discussed the carrier’s Hybrid LTC solutions. In that article, we noted that OneAmerica would be updating their individual and joint Asset Care options to further improve their competitiveness later that year.  

This week’s ONE Idea will focus on those changes and the benefits the solution will offer your clients. The new version of the product will be referred to as Asset Care (2024)* and the previous version as Asset Care (2019)**. (This ONE Idea will not cover the specific California product. If you want to discuss that option, please contact AgencyONE). 

Asset Care (2024) Benefits 

Asset Care (2024) is available for both individual and joint life cases and allows your clients to be slightly rated in the underwriting process. OneAmerica’s hybrid solutions provide a monthly reimbursement benefit. The 2024 version is also better aligned with other carrier benefit periods, allowing AgencyONE to provide you with a more targeted competitive analysis for your clients’ cases. It also offers a 2-year Acceleration of Benefits (AOB) with a 2, 4, 6-year, or lifetime Continuation of Benefits rider (COB). This results in longer coverage – meaning the benefit period will run for 4, 6, 8 years, or lifetime.

OneAmerica’s Asset Care hybrid products remain the only options in the market that allow a lifetime benefit period and can be added to both the individual and joint product offerings. 

Asset Care (2024) Product Specs: 

  • Issue Ages are 35-80 years for Single and Recurring Premiums. 
  • Joint life has a maximum 25-year age difference between unrated joint insureds. 
  • Premium payment options are similar to the 2019 product. 
  • On the initial 2-year Acceleration of Benefit (AOB), single pay, 5, 10, 20, and pay to age 95 is available. 

Continuation of Benefits Rider (COB): 

This rider covers the costs of extended qualifying care. The Continuation of Benefit rider (COB) must match the AOB premium mode. 

  • Premium cannot increase, and the policy owner can continue this rider as long as premiums are paid on time. 
  • Rider benefits start after the base policy long-term care benefits reduce to zero. 
  • On a joint policy, the lifetime benefit applies to both insureds for one premium rate. 
  • Clients can pay on a single-premium, 5-pay, 10-pay, 20-pay, or lifetime (pay-to-95) basis depending on their funding choice. 
  • Continuation of benefits can be added to any Asset Care base policy with an additional premium at application. 

Inflation protection and nonforfeiture benefits may also be available for an extra premium. Note that international facility and care coordination benefits are not available with the continuation of benefits rider.

Inflation Rider – Three Options & Two Durations: 

Options include 2%, 3%, or 5% compound interest for 20 years or lifetime. If selected for both the base coverage and COB Rider, the interest rates and duration must match. If electing base Inflation Protection Rider (IPR) you must also select COB IPR, however you can select COB IPR without including it on the base. The premiums are guaranteed never to increase.

Single Premium Drop-In Rider:  

The Single Premium Drop-In Rider allows clients to make up to two additional premium drop-ins (minimum: $10,000; maximum: $100,000) within six months of policy issue, however the face amount available with this rider may not exceed $250,000. Clients are underwritten for the assumed total face amount including initial premium and all drop-ins. Note: The Single Premium Drop-In Rider is available only with the recurring premium whole life funding option. 

Benchmarking Hybrid LTC products can be difficult as case designs are all over the place with different age limits, pay periods, benefit periods, and inflation options. For comparison purposes, AgencyONE runs all 4 of our carrier partner options (Lincoln, Nationwide, OneAmerica and Securian) for our cases. It is, however, easier to benchmark the new OneAmerica product with the same benefit periods and, as a bonus, OneAmerica offers a lifetime benefit period while the other carriers do not.

Contact the AgencyONE case design department at 301.803.7500 for more information or to discuss a case.  

 OneAmerica UW and Sales Process Guide is attached HERE for your reference. (link to be added).  

*Asset Care 2024 – Updated Product Offering: Alabama, Alaska, Arkansas, Colorado, Georgia, Hawaii, Idaho, Illinois, Iowa, Kansas, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Nebraska, Nevada, New Hampshire, New Mexico, North Carolina, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, Tennessee, Texas, Utah, Vermont, Virginia, Washington, West Virginia, Wisconsin and Wyoming. 

**Asset Care 2019: Arizona, Connecticut, District of Columbia, Delaware, Florida, Indiana, Montana, New Jersey, North Dakota, South Carolina and South Dakota.

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