Our experts have researched 13 long term care insurance providers and recommend 10 of the best options for seniors.
Top 10 Highest Ranked Long-Term Care Insurance For 2020
How We Chose Our Top List
In creating our top 10 list of the best long-term care insurance for seniors, we looked at plans and pricing, standard and optional benefits, discounts, value, and so much more. We then put it all on the table so that you can make a wise decision for your future. After all, long-term care matters, and quality insurance makes it possible.
Get a rough estimate cost of your policy on Mutual of Omaha’s website by sharing your age, gender, zip code, and marital status. If you are married, indicate whether your partner is also interested in coverage. Finally, be sure to input the monthly benefit amount you want the policy to cover. Keep in mind that regardless of insurer, you will pay less in total premiums the younger you are when you sign up.
If you are looking for an insurance company that offers a plethora of standard and optional benefits, then Mutual of Omaha may provide the robust coverage you are seeking. On the other hand, having so many different options available to you can get overwhelming. Before committing, be sure to gain a clear understanding of what you are and aren’t signing up for, and get quotes from other companies as well.
For pricing information, you will have to get in touch with an agent. Unlike Mutual of Omaha, Transamerica does not have an online estimator. One thing to note is that premium rates vary by gender. Since women tend to live longer, they have higher long-term care expenses.
While costs are not found on Transamerica’s website, The American Association for Long-Term Care Insurance lists three TransCare III pricing estimates. A married couple aged 60 and 61 with a benefit amount of $162,000 each is responsible for paying a yearly premium of $2,242. On the other hand, a single male who is 57 years old pays $989. A single female the same age pays $1,507. These estimates do not factor in inflation protection.
If you live outside of California, you can expect Transamerica to provide relatively affordable policies with a good amount of options to choose from. Even though it’s not possible to get a quote from Transamerica’s website directly yet, you can get a rough idea of costs with the estimates above.
Similar to other insurers, rates are highly dependent on gender with MassMutual. The company prefers that seniors pay premiums either semi-annually or annually. There is an additional charge for people who choose to pay monthly or quarterly. MassMutual may credit your policy with dividends that lower the premiums you’re responsible for, and expand the benefits pool. However, they are not guaranteed, and it’s typical that you must have had your policy for at least 11 years to start receiving dividends. Daily benefit amounts for care ranges from $50 to $400 per day and increase in $10 increments.
Seniors looking for long-term coverage may take advantage of MassMutual’s 6-year period offering. Otherwise, there are plenty of other options to consider. Keep in mind that your benefits can be restored more than once as long as you have not used up your total benefit amount. The enhanced elimination period rider may save you some money in the long run. For example, if you only use services for one day in a seven-day period, you can get the full week counted towards the elimination period.
To find out information on pricing, you will need to speak with a Nationwide agent. From there, you’ll determine whether it makes sense to get long-term care coverage, and how much that will be. You can call to get a quote.
If you are looking for long-term care insurance that is flexible, consider Nationwide’s range of long-term care solutions. From riders on life insurance policies that accelerate the death benefit to a comprehensive long-term care insurance linked benefit in excess of the policy’s death benefit plus an inflation protection benefit – you will be covered!
Aetna has Medicare supplement policy rates on their website. On Aetna’s Medicare supplement plan state search page, pick your state to see if they offer a plan in your area. If they do, click on the state and scroll down. Select the state again to get a PDF document outlining the pricing in your area. On average, Aetna’s rates are slightly lower than the national median.
Plan costs will vary depending on different things like state of residence, age, health status, and whether you choose to bundle benefits like vision and medical discount plans with a Medigap policy.
Retirees with chronic medical conditions can avoid having their unexpected medical bills wiped out from their retirement savings by choosing Aetna Medicare supplement insurance. With five different plans to choose from, you’ll likely be able to find the right balance of affordability and coverage.
Long-term care insurance costs vary from state to state, so OneAmerica’s website provides state-specific long-term care expense data. To find out specific costs where you live, you will have to speak with a representative to get a quote for Asset-Care policies that will meet your needs.
Using Asset-Care to pay for your long-term care expenses is a smart alternative to relying on your savings or paying out of pocket. Below are some sample costs of a 65 year old couple looking to ensure long term care is available when they need it, without totally sacrificing their retirement income.
A report by OneAmerica Long-Term Care Protection Studies indicated that having long-term care insurance can significantly reduce out-of-pocket medical costs. For example, someone relying solely on savings with a long-term care total cost of $765,949 would be responsible for that full amount with no potential death benefit. Someone with that same amount under traditional LTC insurance would pay $256,765 out-of-pocket, which is much lower than the full $765,949. Finally, someone with asset-care LTC insurance would be responsible for $237,566 with a potential death benefit of $125,000.
OneAmerica’s long-term care insurance plans are designed to ease the financial and emotional burden that comes with expensive long-term care for seniors and their loved ones. For most, getting older means deteriorating health in the later years. Having long-term care insurance in place helps to manage costs for care and assistance.
The costs associated with long-term care insurance with Lincoln Financial varies on a variety of factors like age, gender, marital status, and benefits selected. The company is currently in the process of rolling out Lincoln MoneyGuard III, which is going to replace MoneyGuard II. The new policy will be priced higher, between 5% and 18% depending on the factors mentioned. To lock in Lincoln MoneyGuard II pricing, applications must be submitted by November 1, 2019.
Naturally, many retirees start to worry about the costs for long-term care. The significant expenses associated with it puts seniors at risk of losing their savings, and even placing burden on their kids if they have any. The good news is that Lincoln Financial’s MoneyGuard II prepares seniors for their future long-term care needs with the option of a death benefit, or premium returns if you don’t end up needing to use the benefits.
National Guardian’s EssentialLTC long-term care insurance plan can be paid monthly, quarterly, semi-annually, and annually. You also have the option of making a one-time lump sum payment if that is preferred. Keep in mind that the availability of this insurance plan may or may not be available depending on where you live, and costs may vary depending on factors like state of residence, age, and gender, for example. To see whether National Guardian’s EssentialLTC long-term care insurance plan is right for you, contact your financial professional.
Both facility and comprehensive care is available with National Guardian Essential LTC long-term care insurance. Both of these options are federally tax qualified, have premium returns, and shared benefits. The daily benefits for facility care range from $50 to $300 in $10 increments, while the daily benefits for comprehensive care range from $50 to $300 in $10 increments. Facility care covers the reservation cost of a facility bed for up to 30 days per calendar year. However, it does not include the first day home or community care rider, while these services waive the elimination period if you opt for comprehensive care.
The costs for long-term care has gone from $30 billion to $225 billion in the United States between 2010 and 2015. This goes to show that the elderly definitely need reliable insurance to manage the hefty costs for long-term care. National Guardian Life EssentialLTC is designed to help mitigate financial stress and tackle healthcare costs for retirees. It even offers discounts and special pricing for clients looking for joint coverage.
New York Life gave pricing quotes in 2018 for a 55-year-old married male covered under each of their four programs. In Bronze, he would be responsible for a monthly premium of $24.93; in Silver, he would pay $49.86; in Gold, it would cost $84.65; in Platinum, it would be $119.45. Keep in mind that these rates do not factor in inflation protection, but does factor in the 25% partner’s discount.
Seniors are partial to New York Life because their long-term care insurance options are easier to understand and follow. NYL Secure Care ensures that older people have financial peace of mind, while receiving the care they need to thrive in their final years.
There are eight daily benefit amounts ranging from $100 to $450 if you go with John Hancock. If you are looking to keep premium costs low and pay out of pocket for some care, then consider their two-year benefit period. There are also three and five-year, and unlimited periods.
There are four John Hancock plans to choose from (Plans A, B, C, D). Each has a 90-calendar-day waiting period and different inflation protection options. If none of these plans suit you and you prefer to customize, you can do that too.
Premiums are lowest under the prepackaged Plan A, which includes a daily benefit amount of $150 for two years, with a maximum lifetime benefit of $109,500. A new client who is 55 years old can expect to pay approximately $101.62, $133.09, or $43.13 in monthly premiums, depending on the inflation protection options selected. A 65 year old senior would be responsible for $173.37, $208.79, or $85.62.
Plan D has a higher premium, but offers a daily benefit amount of $200 for 5 years, with a maximum lifetime benefit of $365,000. A 55 year old individual can expect to pay approximately $274.88, $371.63, or $104.41. A 65 year old senior would be responsible for $441.27, $545.56, or $231.09.
As far as pricing goes, John Hancock is pretty reasonable, and competitive with other insurers.
If you are single and qualify to get long-term care insurance with John Hancock, it is probably going to be a pretty solid bet. Another big plus with this company is that they offer an unlimited benefit period, which is almost unheard of with other insurers. John Hancock has four prepackaged options that make it easier for people to decide which is best for them, along with features like informal care and 80% coverage for international care.
The earlier you take out your policy, the cheaper the premiums are. For instance, it’s generally cheaper to start a policy in your 50s rather than your 70s. Expect to pay less overall even if you’ve been paying for a longer period.
The process generally works like this:
Some states have partnership programs with benefits such as inflation protection and asset disregard. Asset disregard lets you retain more assets above the $2,000 Medicaid limit if you need Medicaid after your long-term care policy has been used up.
You’re generally not expected to pay premiums while you receive long-term care, but do check where your policy stands on this before signing.
Long-term care insurance helps consumers pay for certain services related to the activities of daily living: bathing, dressing, eating, toileting, continence and transferring. If you’re no longer able to do at least two of these activities or have a cognitive impairment, long-term care insurance may help.
Seniors receive assistance in settings such as their homes, hospice care, adult day care, respite care, assisted living facilities, nursing homes and special care facilities (for conditions such as Alzheimer’s, for example). If you receive care at home, the policy usually covers personal care (bathing, dressing, toileting, etc.), occupational, speech, rehabilitation or physical therapy, and skilled nursing care.
Some policies cover informal care by friends and family members, while others do not. Most provide some sort of caregiver training.
Standalone, conventional long-term care insurance is critical for several reasons. First, it can be essential for many married couples who want to ensure that one spouse can live adequately if the other has to go into a nursing home. Otherwise, bills from the nursing home could gut the healthy spouse’s finances, leaving him or her destitute with 10 or 20 years of life left. Second, it’s a way for individuals and couples to protect some of their assets to pass on to heirs. Third, long-term care insurance minimizes the amount of money that seniors’ children and other family members spend on their care. It’s something many seniors do to make life easier on their families.
Experts generally recommend looking into long-term care insurance if your non-home, non-car assets range from about $150,000 to $700,000. Below that window, Medicaid may be the better option, even paying for a spouse who needs long-term care without draining the healthy spouse’s resources. Above that window, self-funding or life insurance with a long-term care rider should be possible.