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Frequently Asked Questions

Who is BuddyIns?

BuddyIns collaborates with benefit brokers, insurance companies, and financial professionals to provide employees and association members with the long term care education and enrollment processes they need to make the best decision for their futures.

What is long-term care (LTC)?
Long-term care is the personal care and/or supervision (custodial, supervisory, or skilled care) needed by persons of all ages for an extended period.

Often this is because of conditions associated with the effects of aging, but LTC may be needed at any time due to an accident or illness. At some point in our lives, it is estimated that more than 60 percent of us will need assistance with things like getting dressed, driving to appointments, or making meals.


Is LTC covered by health or disability insurance?
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.

How does this program cover LTC costs?
This LifeTime Benefit Term Policy provides dual protection to help cover the cost of long term care and financial support for your beneficiaries after you are gone.

When you elect a life insurance benefit amount, you will also get LTC coverage. The LTC coverage amount is a percentage of the Life Insurance benefit amount and is paid out in monthly increments.

Should I consider this if I already have LTC insurance?
If you already have LTC insurance, great! You may want to use this enrollment as an opportunity to review your coverage. It is often recommended to keep your original coverage because of the value it provides. However, if you would like to review your existing plan in more detail, you can meet with one of the LTC insurance specialists supporting this enrollment to review your coverage and options.

Why is there a Plan 1 and a Plan 2?

  • Plan 1 is a basic benefit with premiums paid by Bergen's Promise when you complete the tobacco question.
  • Plan 2 is voluntary coverage that you can elect as guaranteed issue up to a maximum combined benefit amount. Can choose a higher benefit amount with some additional health qualifying.

Can you explain in more detail how I might use the policy?
There are generally two ways you might use the policy:

  • If you don't need LTC in your lifetime, there is still a death benefit available to your beneficiaries. As an example, if you buy $100,000 of life insurance and don't use any LTC expenses, your beneficiaries would still be able to receive up to $100,000 in death benefits*.
  • If you need LTC coverage, the benefit will pay a monthly benefit of 4% of the total amount of Life Insurance you buy once you qualify for benefits. Again, using the example of $100,000 in Life Insurance coverage, you will receive $4,000 a month for up to 50 months (about 4 years) for a total potential benefit of $200,000*.

*Even after age 70, the full death benefit is designed to last through age 99 for non-tobacco users and age 95 for tobacco users based on the current interest rate and mortality assumptions. Based on the guaranteed interest rate, the death benefit after age 70 will always be at least 50% of the initial benefit.