What Happens If You Cancel Long-Term Care Insurance?
(Here's how everything works)
Written by
Candace Jenkins is a licensed insurance advisor with over a decade of experience. She is also a writer and loves to write on all things insurance. Candace writes for TrustedChoice.com on a continuous basis and is here with the facts about all your insurance inquiries.
Reviewed by
Paul Martin is the Director of Education and Development for Myron Steves, one of the largest, most respected insurance wholesalers in the southern U.S.
Table of Contents
Q. What happens if you cancel long-term care insurance and do you get your money back?
Q. What happens if you cancel long-term care insurance and how long before you lose the benefits?
Q. What happens if you cancel long-term care insurance and is there a way to pause the policy?
Q. What happens if you cancel long-term care insurance and can you get another one later?
Q. What happens if you cancel your long-term care insurance and do you get your money back?
As you know, long-term care insurance is another bill. I am wondering what happens if I cancel my long-term care insurance. Do I get my money back at the time of cancellation, since I didn't use the benefits?
Long-term care insurance is a use-it-or-lose-it type of policy. Meaning, if you never use the benefits or decide to cancel the policy down the road, you no longer receive the care and you won't get the money you paid in, either. The only way to get back what you paid for but didn't use is with a long-term care insurance hybrid policy.
This is a life policy with a long-term care benefit rider, and most of the time you can cancel and get back the amount that was paid into the policy. It is best to speak with your local independent insurance agent on this matter.
Q. What happens if you cancel your long-term care insurance and how long before you lose the benefits?
What would happen if I had to cancel my long-term care insurance? How soon after would I lose the benefits?
Long-term care insurance is a use-it-or-lose-it type of policy. Meaning, if you never use the benefits or decide to cancel the policy down the road, you no longer receive the care and you won't get the money you paid in either.
The long-term care benefits would be no longer active immediately after cancellation of the policy. Speak with your local independent insurance agent for more details.
Q. What happens if you cancel your long-term care insurance and is there a way to pause the policy?
I am worried that my long-term care insurance may have to be canceled due to finances. What happens if I cancel my long-term care insurance policy? Is there a way to pause the policy instead?
Long-term care insurance is a use-it-or-lose-it type of policy. Meaning, if you never use the benefits or decide to cancel the policy down the road, you no longer receive the care and you won't get the money you paid in either. There is something called a waiver of premium rider that may be available if you have a long-term care insurance hybrid policy.
The waiver only applies if you have to stop paying premiums for some time due to a disability. This typically is only a provision in life and disability insurance policies, but may be worth looking into. If this is not an option for your specific policy, then there is not another way to put your policy on hold.
Contact your local independent insurance agent for specifics and plan options.
Q. What happens if you cancel your long-term care insurance and can you get another one later?
I think I may have purchased a long-term care policy too soon. What happens if I cancel my long-term care insurance? Can I get another one later?
Long-term care insurance is a use-it-or-lose-it type of policy. Meaning, if you never use the benefits or decide to cancel the policy down the road, you no longer receive the care and you won't get the money you paid in either. Getting another long-term care insurance policy later on is entirely up to the insurance companies.
They do see that you have had and canceled policies in the past, and may be cautious about offering coverage at a later date. It is best to discuss plan options with your local independent insurance agent.