Long Term Care Insurance Using A Life Insurance Policy

long term care using a life insurance policy

If you were to pass away, do you know what’s going to happen to your debts? They are going straight to your family.

That’s where I life insurance policy comes in. It will give your family the money that they need to get through the difficult time, without being stranded with a mountain of debt.

If you recognize the need to purchase life insurance to protect your family, but you also feel it’s important to protect your independence and your assets while you’re alive – you should consider linking your life insurance with long term care benefits.

Standalone long term care policies are becoming increasingly unaffordable.  Rates continue to rise and we’re seeing a trend of insurers discontinuing their standalone long term care plans.

HOWEVER, some life insurance companies have combined life insurance and long term care into one “linked” product.  This makes having long term coverage VERY affordable.

If you want to get affordable long-term care, it’s a much better option to get a rider instead of buying a standalone plan. Buying additional coverage on a plan that you already own is going to help you save hundreds of dollars on your insurance coverage.

Here are some of the benefits of using one of these linked life insurance and long term care policies:

Your life insurance death benefit is also available for long term care expenses. While your passing could leave your family with a massive amount of debt, paying for any long-term care services could be just as financially straining. Having the ability to tap into your life insurance policy when you need it is a key advantage that you should consider having.

You can use all, some or none of the death benefit for long term care.  The benefit not used for long term care expenses, will be paid to your heirs.

You WILL use the benefits
Regardless of what happens in your life, this policy will pay out.  When paying for a standalone long term care policy, you run the risk of not using the policy.

long term care using life insuranceThere are several carriers on the market who provide these long term care options with their life insurance: John Hancock, Lincoln and Hartford are a few, but one carrier stands out from the rest: Nationwide.

Hands down, Nationwide has the best long term care rider and rates.  Comparing all these companies will take a whole other article.  We have nothing against the other carriers, in fact we offer all of them – but Nationwide has separated themselves from the pack.  Click here for an in depth look at this rider.

How Much Coverage Do You Need?

There are dozens of riders you can add to your life insurance policy. Each of them is going to beef up your coverage, but you should always ensure your loved ones will have the money they need if you passed away. It’s the main purpose of your life insurance coverage.

This brings up the questions, how much coverage do you need to buy? The answer is easier than you may think.

Do you still have a mortgage? If so, you need a plan which will pay off those bills. Don’t forget to add in any other major debts you have.

After you’ve added those debts, what about the monthly expenses your family have. Could they pay for those with only a single paycheck? If not, make sure your life insurance will give them enough money to replace your salary.


Because you’re looking to get long-term care, you’ll also need to consider the cost of any extended care services that you may need. The costs could be anywhere across the board, and it’s impossible to accurately calculate exactly how much you will need for long-term care, but it’s important that you account for those expenses when you’re getting a long-term rider and a life insurance plan.

Working With An Independent Agent For Long Term Care


If the thought of buying life insurance makes you want to run and hide, it doesn’t have to be that scary. All you need to do is make one call. Yep, a single phone call to us will take all the pressure off of you.

We aren’t restricted to one company. Instead, we work with more than 60 companies out there. What does this mean to you? It means you call us, then we contact all those companies for you. Think of us as your personal life insurance shoppers.

For more information about linking your life insurance with long term care, quotes or to request brochures, please don’t hesitate to contact us.  You’ll find that when it comes to educating our clients, we take the time to make sure you understand everything!

Long-term care insurance riders are only one of the additional covers that you can attach to your life insurance plan. There are dozens of different riders that you can add, like child protection, and each company is going to have different supplemental coverage plans that you can buy. Not only can our independent insurance agents help you find the lowest insurance rates, but they can also help you decide what kind of protection that you’ll need.

Our agents have been working in the insurance field for years. We’ve dealt with every guy of company and client.

Perhaps you’re concerned because of a health condition such as someone needing diabetics life insurance or other health conditions. If so, we can help.

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About Jeff Root

is the owner of rootfin.com. He's an independent life insurance agent who has helped 1,000's of consumers purchase life insurance online and over the phone.

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1 Comment

Jeff, Thanks for the informative post. you are correct that standalone LTC insurance policies are becoming more expensive, and for some purchasers a hybrid long term care/life insurance policy might make sense. There is a difference, however, between a linked benefit life insurance policy that significantly enhances the total benefits if long term care is needed, and a life insurance policy that simply accelerates the death benefit prematurely if the insured is care-dependent.

Jack Lenenberg, J.D.

November 29, 2011 at 12:10 pm
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