In South Dakota, individual long-term care policies must be renewable for how long?

In South Dakota, individual long-term care policies are designed to provide coverage for an extended period to accommodate the needs of policyholders who may require care later in life. The correct requirement states that these policies must be renewable for life. This means that as long as the premiums are paid, the policy cannot be canceled, and coverage remains active regardless of the insured's age or health status at the time of renewal.

This is particularly important in long-term care insurance because it provides the insured with the assurance that they will have ongoing financial support for long-term care needs, which can be significant and can arise at any age, especially as individuals grow older or face chronic health challenges. By ensuring that the policy is renewable for life, the state protects consumers from losing their coverage unexpectedly, thereby enhancing stability and security in the insurance process.

Renewal requirements that specify a shorter duration, such as 10 or 20 years, or limiting coverage until a specific age like 65, do not offer the same level of protection and assurance to policyholders. The lifetime renewal provision is critical in addressing the unpredictable nature of healthcare needs over a person's lifetime.