Long-Term Care Insurance

Help Your Non-Crisis Clients Prepare for a Nursing Home Stay

A Long-Term Care Insurance policy is a staple for any estate plan. If you have a client that is currently healthy but worried about potential future nursing home costs, this product is the perfect solution. It provides your client:

Financial Support for Long-Term Care
Asset Preservation
Security in Retirement

A Long-Term Care Insurance policy provides coverage in the event of a stay in a nursing home, assisted living facility, or if receiving home health care.  It is the ultimate “pre-planning tool,” as it allows flexibility for the long-term care recipient and negates the needs for government assistance programs, such as Medicaid.

Flexibility in Facility

If your client needs Medicaid benefits, they’re limited in where they can receive care.  LTCI allows them the option of residing in a facility of their choice, including at home or in an assisted living facility.

Various Benefit Options

Daily or monthly benefit amounts, as well as the duration of benefits, are flexible based on your client’s needs.  The policy can be structured in any way you and the client see fit – even providing benefits for their entire lifetime.

Protected Premium Investment

Whether purchasing traditional or hybrid LTCI, your client’s policy can be structured with a guaranteed return of premium option.  Should they never need long-term care, their beneficiaries will receive a death benefit in the amount of premiums paid.

Access to Cash

Our hybrid policies contain accessible cash value.  Plus, our traditional policy can be structured with a cash surrender option which allow the owner to access 80% of premiums paid in case of an emergency.

Growth Opportunity

Our hybrid policies include a life insurance or annuity policy, which allows your client to earn growth at a competitive rate.  Plus, the growth can be used to pay for long-term care on a tax-free basis.

Long-Term Care Insurance may be right for your client if they…
Are currently healthy and not in need of care.
Are concerned about long-term care in the future.
Want to protect their nest egg.
Who Purchases LTCI?
Ideal Candidate
Traditional Policy Features
Crisis Planning
Hybrid Policy Features
Tax-Free Benefits

Long-Term Care Insurance is typically purchased by those that have been affected by the long-term care experience of a loved one.  This policy is a perfect choice for the adult children or healthy spouse of your crisis Medicaid planning clients.  They’ve seen firsthand the hardship long-term care can cause and will want to take the necessary steps to prevent the same from happening to them.

This policy is a perfect choice for the adult children or healthy spouse of your crisis Medicaid planning clients.  They’ve seen firsthand the hardship long-term care can cause and will want to take the necessary steps to prevent the same from happening to them.

The traditional LTCI policy contains zero cash value and can be structured in a variety of ways.  Premiums can be paid in a single payment, over 10 years, or over the lifetime of the insured.  Daily benefit options range from $50 to $300 and benefit periods begin at two or three years, however additional coverage can be purchased up to the lifetime of the insured.  Policies can also be structured with a return of premium and/or cash surrender riders.  The issuance of this policy is subject to underwriting.

In some cases, the traditional LTCI policy can be used when planning for Medicaid or VA.  If the applicant for government benefits has a healthy spouse at home, they may be able to purchase a policy in order to spend-down excess countable assets.  The benefit is two-fold:  The ill spouse can gain eligibility for Medicaid or VA and the healthy spouse can protect their own financial future should they, too, require long-term care.

Our hybrid policies consist of a whole life insurance policy or annuity contract that contains long-term care benefits.  The policy contains cash value and earns growth on a tax-deferred basis.  Policies can be funded with an IRA or existing annuity.  Monthly benefits are based on the premium amount invested.  The base contract provides benefits for 36 months, though continuation of benefits riders are available.

In some cases, the traditional LTCI policy can be used when planning for Medicaid or VA.  If the applicant for government benefits has a healthy spouse at home, they may be able to purchase a policy in order to spend-down excess countable assets.  The benefit is two-fold:  The ill spouse can gain eligibility for Medicaid or VA and the healthy spouse can protect their own financial future should they, too, require long-term care.