Are Voles and Moles Eating Your Profits?
When Clerks Make Marketing Decisions
Dec 8, 2005: Vol. 1, Issue No. 54
Penn Treaty Network America Insurance Company
Dear Mr. Hatch:
We would like to take this time to confirm your interest in applying for reinstatement of the above referenced policy and receipt of your check number 1610 in the amount of $199.11. We now require a completed reinstatement application to accompany your payment and, therefore, we are returning your check and are enclosing an Application for Reinstatement.
--Larry Hausman, vice president of Policyholder Services and Conversion, Nov. 15, 2005
Over the past three years, two members of my family in their 90s were in an assisted living facility and required round-the-clock care.
The $12,000 monthly costs were chewing up their life savings the way voles and moles tunneling underground will destroy a garden.
This situation so scared my wife, Peggy, and I that when we received an offer for long-term care insurance, we made an appointment with the agent.
She came. She sold. We bought.
A subsequent mailing from the insurance company--Penn Treaty--was so terminally disgusting that we canceled.
Like the voles and moles chewing up my elderly family members' life savings, equivalent voles and moles may be deep inside your organization eating into your revenues and profits.
About Long-term Care Insurance
Long-term care is the elephant in the living room--a pernicious black hole in everyone's retirement plans. What is long-term care? Think Ronald Reagan. Think Christopher Reeve. Both once were robustly healthy men who, at the end of their lives, needed "custodial care." They became unable to perform basic tasks of feeding, dressing, toileting or bathing themselves.
The Unique Selling Proposition (USP) for this kind of niche insurance is that so-called custodial care is almost never covered anywhere--not by standard health care or disability policies, and not by Medicare.