Description: New for 2017, we are introducing a series of articles by experienced industry professionals who are relatively new to long-term care (LTC).

Description: New for 2017, we are introducing a series of articles by experienced industry professionals who are relatively new to long-term care (LTC).

Description: State regulators' review of predominant LTC Risks after review of year-end AG51 reports.

Description: Today, a plethora of tools and approaches exist to develop lifetime projections of long-term care (LTC) business. Within these tools lie two distinct approaches to project mortality; namely, by using assumptions that are applied: (1) to an all-lives exposure base, or (2) separately for disabled- versus active-lives exposure bases. Using disabled versus active mortality allows for more granular modeling of the two different cohorts that exhibit dramatically different mortality. And so, when using an all-lives mortality assumption, is the projection missing important details about the appropriate mortality level? This article seeks to not only answer this question, but also answer how a “traditional” all-lives mortality assumption can be impacted when you introduce a combination of the two modeling techniques into the development of a mortality assumption. To answer these questions, we examined the experience and results developed from one c ompany as an illustrative case study.