In a simulated pilot, we found that wellness and intervention programs for long- term care (LTC) consumers could generate positive return on investment (ROI) for insurance carriers. These programs have been an important and successful tool for other insurance lines. As part of the pilot, we used Milliman LTC Advanced Risk Analytics (LARA), a proprietary suite of predictive modeling solutions that focuses on early identification of potential LTC claimants. In this paper, we cover:

• The case of an elderly woman with an LTC policy
• An analysis of a carrier’s 85,000 LTC insureds using customized LARA pre-claim models
• Our ROI results