In this article, we will look into the 15 best long-term care insurance companies heading into 2024. If you want to skip our detailed analysis, you can go directly to the 5 Best Long Term Care Insurance Companies Heading into 2024.
Market Analysis of Long-Term Care Insurance
Long-term care insurance is provided to senior citizens who are unable to support themselves and are receiving long-term care services. The care can range from assistance in daily activities at home to extensive care at institutions and facilities. According to a report by SkyQuest Technology, the global long-term care insurance market was worth $18.88 billion in 2021. The market is expected to grow at a CAGR of 12.3% and reach $53.21 billion in 2030. The growth can be attributed to a rise in the aging population, an increase in long-term ailments, and a higher life expectancy.
Regionally, North America dominated the market in 2022, accounting for a total share of 49.3%. The growth can be attributed to the availability of long-term care facilities, favorable government policies, and an improving reimbursement framework. Segment-wise, the nursing care segment led the market with a share of 32.3%, driven by the rising demand for nursing care services.
Key Players in the Market
Some of the prominent names in the long-term care insurance market include Ameriprise Financial, Inc. (NYSE:AMP), Manulife Financial Corporation (NYSE:MFC), and The Allstate Corporation (NYSE:ALL).
Ameriprise Financial, Inc. (NYSE:AMP) is a major financial services and insurance company. On October 25, the company reported earnings for the fiscal third quarter of 2023. The company reported an EPS of $7.68 and beat estimates by $0.08. The company generated quarterly revenue of $3.92 billion and outperformed estimates by $69.71 million. The company’s revenue grew by 10.44% on a year-over-year basis.
Here are some comments from Ameriprise Financial, Inc.’s (NYSE:AMP) Q3 2023 earnings call:
“We’re driving good sales in targeted focused areas that serve our clients’ comprehensive needs and generate good risk-adjusted returns. In our life business, we focused on variable universal life and disability products that are appropriate for this environment. Life and health sales were up nicely, increasing 22%, with the majority of sales in higher-margin accumulation VUL products. We’re also seeing positive initial results from our accelerated underwriting modeling, that’s highly automated and will drive further efficiencies as we roll it out more fully. In variable annuities, our structured product continues to attract good interest. Combined with our variable annuities without living benefits, sales were up 18% from a year ago.”
Manulife Financial Corporation (NYSE:MFC) is one of the market leaders in the long-term care insurance market. On November 15, the company announced that it had acquired a top London-based alternative credit manager, CQS. The acquisition will provide the company with access to CQS’s $13.5 billion credit platform. This will enhance its fixed income and multi-asset services. The agreement will allow CQS to retain its autonomy and leverage Manulife Financial Corporation’s (NYSE:MFC) resources. The transaction is anticipated to close in early 2024.
The Allstate Corporation (NYSE:ALL) is one of the major insurance companies, providing long-term care insurance products and services. On November 1, the company reported reported earnings for the fiscal third quarter of 2023. The company reported an EPS of $0.81 and outperformed estimates by $0.32. The company reported a revenue of $14.50 billion for the quarter and surpassed estimates by $1.06 billion. The Allstate Corporation’s (NYSE:ALL) revenue grew by 8.39% on a year-over-year basis.
Here are some of the comments from the company’s Q3 2023 earnings call:
“Our success now positions us to achieve additional growth that potential could be maximized by aligning this platform with a broader set of complementary products, distribution channels and capabilities. We anticipate completing a transaction in 2024. We also made progress in executing and transformative growth initiatives to set the stage for personal profit liability market share growth as margins improve. The second part of our strategy to broaden protection offerings also progressed with Allstate Protection Plans growth.”
15 Best Long Term Care Insurance Companies Heading into 2024
Methodology
To rank the best long-term care insurance companies heading into 2024, we reviewed market reports including SkyQuest Technology, Vantage Market Research, Allied Market Research, and Research and Markets. We identified public and private companies from these reports and ranked them in ascending order of their market cap as of December 22, 2023, and annual revenue.
By the way, Insider Monkey is an investing website that tracks the movements of corporate insiders and hedge funds. By using a consensus approach, we identify the best stock picks of more than 900 hedge funds investing in US stocks. The top 10 consensus stock picks of hedge funds outperformed the S&P 500 Index by more than 140 percentage points over the last 10 years (see the details here). Whether you are a beginner investor or a professional looking for the best stocks to buy, you can benefit from the wisdom of hedge funds and corporate insiders.
15 Best Long-Term Care Insurance Companies Heading into 2024
15. Mutuals of Omaha
Annual Revenue (2022): $11.54 billion
Mutual of Omaha is ranked among the 15 best long-term care insurance companies heading into 2024. The company offers a wide range of health and life insurance products. It provides coverage for both short-term and long-term care. Some of the major life insurance products of the company include Life Protection Advantage, Income Advantage, and AccumUL Answers. Mutuals of Omaha reported an annual revenue of $11.54 billion in 2022.
14. Aviva plc (OTC:AVVIY)
Market Cap as of December 22: $15.05 billion
Aviva plc (OTC:AVVIY) is a leading insurance company, offering services including retirement, investments, insurance, health, insurance technology, and protection. It offers two lifetime care insurance plans, Immediate Lifetime Care and Secured Lifetime Care. As of December 22, Aviva plc (OTC:AVVIY) boasts a market cap of $15.05 billion.
13. Dai-ichi Life Holdings, Inc. (OTC:DCNSF)
Market Cap as of December 22: $20.19 billion
Dai-ichi Life Holdings, Inc. (OTC:DCNSF) is a leading life insurance company company, operating in over 10 countries. The company boasts a comprehensive set of products including EduPro Premier, Active Care, Smart Shield, DL EduPro, and LoanShield. The company provides care annuity insurance, long-term care insurance, and critical illness insurance among others. As of December 22, Dai-ichi Life Holdings, Inc. (OTC:DCNSF) has a market cap of $20.19 billion.
12. The Allstate Corporation (NYSE:ALL)
Market Cap as of December 22: $32.54 billion
The Allstate Corporation (NYSE:ALL) is one of the top insurance companies in the US, headquartered in Illinois. The company provides life insurance, long-term care insurance, homeowners insurance, auto Insurance, earthquake insurance, general liability, and annuities. As of December 22, The Allstate Corporation (NYSE:ALL) has a market cap of $32.54 billion.
11. Capgemini SE (OTC:CGEMY)
Market Cap as of December 22: $34.57 billion
Capgemini SE (OTC:CGEMY) is a French multinational company, providing business tech solutions to companies including insurance. The company provides automation and tech solutions to companies to streamline their insurance process. Its insurance services cover health, life, and property & casualty among others. As of December 22, Capgemini SE (OTC:CGEMY) has a market cap of $35.47 billion. It is ranked 11th on our list.
10. Northwestern Mutual
Annual Revenue (2022): $35.00 billion
Northwestern Mutual is a leading insurance company, headquartered in Milwaukee, Wisconsin. The company has over 160 years of experience in providing top-notch insurance products and services. The company provides financial security to over 4.5 million people. QuietCare is a major long-term care brand of the company, introduced in 1998. The company reported an annual revenue of $35 billion. It is ranked 10th on our list of the best long-term care insurance companies.
9. Prudential Financial, Inc. (NYSE:PRU)
Market Cap as of December 22: $37.37 billion
Prudential Financial, Inc. (NYSE:PRU) is one of the top financial services companies in the UK, specializing in life insurance, group benefits, financial wellness, retirement benefits, annuities, and mutual funds. The company is operating in multiple countries and territories including the US, Europe, Asia, and Latin America. The company offers life and health insurance coverage including long-term care insurance in case of long-term ailments or disability. As of December 22, Prudential Financial, Inc. (NYSE:PRU) has a market cap of $37.37 billion.
8. Ameriprise Financial, Inc. (NYSE:AMP)
Market Cap as of December 22: $38.05 billion
Ameriprise Financial, Inc. (NYSE:AMP) is a leading financial services company, offering financial planning, investment, and insurance services. The company has over 125 years of experience and a network of over 10,000 financial advisors. Along with traditional long-term care insurance, the company also offers hybrid long-term care insurance and life insurance with a long-term care rider. As of December 22, Ameriprise Financial, Inc. (NYSE:AMP) has a market cap of $38.05 billion. It is ranked 8th on our list.
7. MassMutual
Annual Revenue (2022): $39.30 billion
Ranked 7th on our list, MassMutual is a leading life insurance company. The company specializes in life insurance, disability income insurance, long-term care insurance, retirement services, and annuities. The company’s first-ever long-term care policy was issued in 2000. MassMutual reported an annual revenue of $39.30 billion in 2022.
6. Manulife Financial Corporation (NYSE:MFC)
Market Cap as of December 22: $39.56 billion
Manulife Financial Corporation (NYSE:MFC) is ranked 6th on our list of the best long-term care insurance companies heading into 2024. The company is a leading multinational financial services firm, headquartered in Toronto. It offers a comprehensive set of products including CoverMe life insurance, and Synergy life insurance among others. As of December 22, Manulife Financial Corporation (NYSE:MFC) has a market cap of $39.56 billion.
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Disclosure: None. 15 Best Long Term Care Insurance Companies Heading into 2024 is originally published on Insider Monkey.