Challenger launches new aged care product

According to Challenger chief executive of distribution, product and marketing Paul Rogan, CarePlus is aimed at retirees entering or already in aged care and is designed to provide certainty about regular income to help meet care costs and estate planning.

CarePlus consists of a combination of a lifetime annuity, which provides the regular income needed for aged care costs, along with life risk insurance, which Challenger said offers stability around estate planning.

"Due to the complexity of rules, costs and emotions involved in aged care, there is increasing demand for financial adviser support in this specialist area," Mr Rogan said.

"Many retirees and their families are turning to financial advisers to help structure their financial arrangements.

"The aged care market is set to grow significantly due to Australia's ageing population" he said.

CarePlus is available to Australians who are approved by the government's Aged Care Assessment Team (ACAT) to receive government-subsidised aged care services, either at home or in residential aged care, a statement from Challenger said.