Hybrid Long-Term Care Insurance Companies

(If you’re looking for the best of both worlds, consider hybrid insurance from a reputable insurer)

Written by Tom Senkus
Written by Tom Senkus

As a writer and research for over two decades, Tom Senkus shares his expertise on such topics as financial planning, insurance, telecommunications, and more. His work has been featured in over 150 publications.

Hybrid long term care insurance companies

Considering long-term care insurance? If so, those who have been looking for alternatives to traditional policies or self-insuring may find hybrid insurance the best fit to pay for any long-term health needs they may incur in the future. 

Hybrid long term care insurance combines the best of long-term care coverage with the benefits of working with your investments via lump-sum premium or monthly payments. If you don’t end up needing long-term benefits, all or nearly all of a death benefit is paid to your beneficiary. 

Of course, this begs the question of any savvy insurance shopper: Which insurance company should I pick for the best hybrid long-term care insurance? Every insurer offers a different type of coverage, so it’s important to understand how they stack up. However, it can be confusing and time-consuming to sort through the fine print and coverages. 

Speaking with the independent insurance agents can help clear things up. By comparing the best policies out there to meet your long term needs, you can gain the peace of mind for your golden years. 

Just as a refresher, let’s first take a look at the basics of what hybrid-long term care insurance is. 

What is Hybrid Long-Term Care Insurance?

As the name implies, a hybrid long-term care policy provides long-term care benefits such as living at a nursing home or home visits by a healthcare professional. This is combined with the advantages of a life insurance policy (or “annuity”). 

Essentially, a hybrid policy covers long-term care expenses and disburses a death benefit to a beneficiary when the insured person passes away.  Either by making payments over several years or by paying a one-time lump-sum premium, you can gain long-term care benefits that Medicare and health insurance do not provide. 

What makes hybrid long-term insurance an attractive option is that if long-term care is not needed, the insurance policy functions like a traditional life insurance policy. 

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What is the Best Insurance Company to Go with? 

So, what is the best company to go with? When trying to select between the many hybrid long-term care insurance companies out there, it can be confusing what’s covered and what’s not. 

  • Look at what is covered and not covered under each insurer’s fine print. Some items to consider are whether the hybrid policy covers the following types of care and to what extent it covers them:
    • Assisted living
    • Nursing home
    • Home care
    • Adult daycare
    • Hospice care
    • Home modification to accommodate disabilities
    • And more
  • Choose a company that has long-term financial strength. Newer companies may offer competitive rates, more coverages and lower premiums, but those are inconsequential if they go under before paying your claims.
  • Compare companies against the types of premiums that you can pay to start the policy (lump-sum and per-month/year payments). While many hybrid companies offer lump-sum payments, some insurers no longer offer paying-in-full with traditional plans. 
    • Note: Premiums can be locked in from the initial purchase date with lump-sum payments and don’t increase. This helps mitigate against inflation (currently near 2% annually), poor performing investments, and more.
  • Compare which companies offer the best death benefit. Generally speaking, a policy’s death benefit pays back most, if not all, of the premium spent when taking out the policy.

If you need help comparing companies, our independent insurance agents can help you discern what’s the best choice for your long-term care needs. We can simplify the process and make choosing the best insurance company uncomplicated. 

Which Insurance Companies Cover Hybrid Long-Term Insurance?

Not every insurer offers long-term care insurance and fewer offer hybrid long-term insurance. Here of some of the most popular companies that cover hybrid long-term insurance:

  • Lincoln
  • Pacific Life
  • New York Life
  • LTC Resource Centers
  • GoldenCare
  • CLTC Insurance Services.
  • Mutual of Omaha
  • New York Life
  • MassMutual
  • Northwestern Mutual 
  • Genworth Financial 
  • TransAmerica
long-term care

Save on Long Term Care Insurance

Our independent agents shop around to find you the best coverage.

Who Should Get Hybrid Long-Term Care Insurance?

Hybrid long-term care insurance is a good choice for those who feel that they need long-term care while also protecting their hard-earned investments. 

Considering that the median cost of long-term care in 2018 was over $100,000 per year (according to Genworth Financial), it can be a wise decision to gain insurance coverage that also pays a death benefit.

Admittedly, there may be some people who may not like the idea of giving up control of their funds that were earmarked for long-term care. However, because of the comparable benefits of a life insurance policy — not to mention tax benefits via 1035 Exchange — having an insurance policy on hand is a wise financial decision. 

In fact, there are a large number of people who have set aside a significant amount of money or invested in a rainy-day fund should their health fail in the future. These methods of self-insuring do have their benefits, but hybrid insurance extends the utility of these policies, even for those who have saved a large nest egg. 

As you can see, hybrid long-term care policies are an attractive option for blending long-term care insurance and your financial future. Now that you’re up to speed on what hybrid insurance is and which companies offer it, you are probably ready to take the next step. 

However, determining which insurance companies cover hybrid long term insurance can be confusing, especially if you’re comparing multiple insurers and the fine print. If you’re wondering which companies have the best prices — especially when comparing states — our independent insurance agents can help. 

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