It is a common misconception that LTC is covered by health or disability insurance. LTC services are typically not covered by Medicare, Medicaid, private health or disability insurance.

• Medicare: Only pays for skilled services or rehabilitative care for a limited time.
• Medicaid: Pays for the largest share of LTC services but has strict income and eligibility requirements.
• Employer / Private Health Insurance: Typically covers the same limited services as Medicare.
• Disability Insurance: Covers lost income for protection during working years but does not cover the cost of LTC services.

To receive LTC benefits, you must be receiving assistance with two (2) or more activities of daily living (transferring, continence, bathing, dressing, eating, toileting) or you have cognitive impairment expected to last more than 90 days. You also need to be receiving care from a licensed professional in a LTC facility, nursing facility or receiving home health care. Benefits are payable after you meet your 90-day elimination period, meaning, benefit payments will start 90 days (about 3 months) after your LTC needs begin.

A qualified health professional will need to certify that you meet the activity of daily living or cognitive impairment requirement.

Plan of Care and Proof of Loss documentation are required. Proof of loss documentation must be filed for each calendar month. There is an elimination period that must be satisfied before benefits are payable. 

After a grace period, the policy will terminate and coverage will end. 

This Rider is intended to be a Federally tax-qualified long term care insurance coverage under Section 7702B(b) of the Internal Revenue Code.

Long term care benefits are generally received tax-free. However, as with all tax matters, you should consult your personal tax advisor to assess the impact of this benefit. 

Life and LTCi benefits paid are generally received tax-free. However, as with all tax matters, you should consult your personal tax advisor to assess the impact of this benefit. The insurance company has no responsibility for any tax consequences of any benefits paid under this policy. The LTC rider is filed to be a federally tax-qualified LTC insurance contract.

During the application process, you will enter your bank account information to authorize a bank draft from the insurance company. The insurance company will draft premiums after confirming your banking information.

Your premium is based on your age at the time of issue and is not expected to increase as you age. Fluctuations in interest rates or policy charges may require the payment of additional premiums. 

Yes, loans are permitted but reduce the policy value and the death benefit and may increase lapse risk. Policy loans are tax-free provided the policy remains in force. If the policy lapses or is surrendered, the amount of the policy loan will be considered a distribution from the policy and will be taxable to the extent that such loan plus other distributions at that time exceed the policy basis.