ABSTRACT
Long-term care (LTC) is care that is required in relation to chronic (or long-lasting) conditions or ailments. LTC insurance provides income support for the insured, who needs nursing and/or medical care. As far as actuarial calculations are concerned, LTC benefits can be classified into three categories:
fixed amount annuities (possibly depending on the frailty level) sold to healthy people;
fixed amount annuities (possibly depending on the frailty level) sold to elderly people at the time of entering into a nursing home or to current residents of nursing care homes;
nursing and medical expense refunding.
