Long Term Care Insurance Checklist

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Long-Term Care Insurance Check List

Thanks to modern medicine, Americans are living longer than ever. Nevertheless, as Americans age, many need long-term care. Some opt to live at home and have medical and other services provided at home, others choose (or family chooses for them) to live in a residential care facility. Either way, retirement savings can be used up quickly – spent on long-term care. The best way to protect estate and retirement assets from being co-opted by long-term care expenses is to buy a long-term care insurance policy.

Following is a checklist for purchasing a long-term care insurance policy. Another important use of this checklist is determining the type of long-term care (LTC) insurance that suits you best.

Location of service

_____ Will the policy pay for long-term care anywhere in the US so there are family or friends nearby?

Services included with this policy

_____ In-home services?

_____ Residential care facilities (nursing homes)?

This policy pays benefits

_____ As a fixed daily sum?

_____ Reimbursement to caregivers up to the policy’s limit for a specific service – such as $150 per day for nursing home care or $75 per day for in-home care?

Does the policy protect you against inflation?

_____ The policy has automatic inflation protection

_____ The policy allows for buying additional protection at set intervals

Does the policy protect against forfeiture?

_____ The policy has automatic nonforfeiture protection

______ The policy provides for you to buy nonforfeiture protection as an added benefit


_____ If married and both spouses by long-term care insurance, is the policy is discounted?

Waiver of premiums

_____ After you receive policy benefits for a set time does the policy provide for a premium waiver?

Tax deductibility

_____ Is the policy federally tax deductible?

_____If your state offers deductions or credits for long-term care insurance does the policy meet state qualifications?

The policy pays benefits for how long

_____ In a nursing home?

_____ Homecare?

Total amount of benefits


______ Nursing home care?

Length of time before the policy is active? (aka elimination period)

_____ Homecare?

_____ Nursing home care?

Eligibility triggers are

_____ When you can no longer perform a specific number of activities of daily living (ADL)?

_____ If you have a cognitive impairment such as Alzheimer’s?

This checklist gives you a handy way to compare long-term care (LTC) insurance policies. Before you settle on buying a policy it is a good idea to discuss your choices with your insurance advisor and your estate planner. The inner workings of these policies are generally hard for lay people to assess.


Have Questions About Your LTC Insurance Checklist?

Make sure you’re asking yourself the right questions and are prepared with the right answers Contact Schneider & Shulman Associates today to speak with our long term care insurance specialists.

Schneider & Shulman
Schneider & Shulman
For over 20 years, Jay Schneider and David Shulman have excelled at helping individuals establish long term care plans customized to their unique needs.