Long Term Care

Created

Mar 19, 2025 5:15 PM

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Most Competitive Policies

• Mutual of Omaha
• National Guardian Life

There used to be more, but many got out of the business.

General Info

• Daily Benefit: The key piece of information to know is the daily benefit.
• This is what is paid out on a daily basis once the conditions are met to qualify for the insurance.
• The standard is $200, but should depend on the cost of living in the area.
• You should also have ready the monthly ($6k), annual ($72k), and total ($216k over a 3 year benefit period) amounts.

Information Needed to Quote

• Knowing the daily benefit the client wants
• Zip code
• Date of birth
• Whether it's for a couple or individual because there's a 10-15% couples discount
• The length of the benefit period for which you get that daily benefit. Typically it's 3 years
• The elimination period, which is the time that you self-fund once the insurance triggers before the benefit sets. It's usually 90 days, up to 1 year

Riders

• Adding an inflation protection of 3%
• Return of premium if you never use the insurance, but it's usually cost prohibitive

Importantly, there is no death benefit

Need to Knows

• Underwriting is required
• A history of mental health disorders or Alzheimer’s may lead to ineligibility
• You usually need to pay premiums for 3-4 years before the benefit pool becomes available.
• It's always good to do at a younger age when you're healthier!
• It can get expensive ($300 - 400 per month) once you hit your 60s