Long Term Care Certification Practice Test

What is one of the advantages of group long-term care insurance?

1. Lower premiums for all employees

2. Guaranteed coverage regardless of health

3. Flexibility in policy options

4. Employer retains employees because they lose coverage if they move to another employer

The correct answer is: Employer retains employees because they lose coverage if they move to another employer

One of the significant advantages of group long-term care insurance is that it encourages employee retention. When employees are offered group long-term care coverage, they may feel a stronger tie to their employer, as losing this benefit often means losing coverage if they decide to switch jobs. This creates an incentive for employees to remain with the same employer to maintain their insurance benefits. In a group policy, employers typically negotiate terms that are favorable for the entire group, making it a valuable benefit for employees that they may not easily find if they were seeking individual long-term care insurance independently. Additionally, group policies can often provide a sense of security that makes employees less likely to seek other employment opportunities. The other choices, while they do have merit in different contexts, do not specifically address the retention aspect linked to group long-term care insurance as effectively as the mentioned advantage.