Long-term care coverage today generally comes in two forms: traditional stand-alone long-term care insurance (LTCI) and linked-benefit (hybrid) life insurance with LTC benefits. Both typically pay benefits when you cannot perform at least two of six activities of daily living or you have a severe cognitive impairment, and benefits help cover services that Medicare or standard health insurance often won’t, such as home health aides, adult day health, assisted living, and nursing homes (NAIC overview). Demand is rising as the population ages: the number of Americans 85+ (the highest-need group) is projected to more than double by 2040, and about 6.9 million Americans 65+ are living with Alzheimer’s, with related care costs projected in the hundreds of billions (ACL Profile of Older Americans; Alzheimer’s Association). Costs of care continue to climb, making benefit design and inflation protection critical (Genworth Cost of Care).
To simplify your search, we highlight 2025-relevant standouts based on product design, feature breadth, and practical differences in how benefits pay. Our top picks reflect two categories: hybrids (e.g., OneAmerica Asset‑Care, Nationwide CareMatters II, Lincoln MoneyGuard Fixed Advantage) and traditional LTCI (e.g., Mutual of Omaha, NGL EssentialLTC). Key considerations when buying include: cash‑indemnity vs. reimbursement claims design, inflation protection (commonly 3% compound), funding schedule (single‑pay/limited‑pay vs. lifetime pay), and carrier strength/servicing history (NAIC).
The 5 Best Long-Term Care Life Insurance Providers
- OneAmerica (Asset‑Care): Best Overall for lifetime/joint benefits and guaranteed premiums
- Nationwide (CareMatters II): Best cash‑indemnity hybrid for flexible use of benefits
- Lincoln Financial (MoneyGuard Fixed Advantage): Best reimbursement hybrid with strong guarantees
- Mutual of Omaha: Best traditional stand‑alone design breadth and availability
- NGL (EssentialLTC): Best traditional alternative with flexible pay and shared benefits
Compare the Best Long-Term Care Insurance Companies
| Reviews.com Score Score is based on company’s customer experience, financial stability, and coverage options. | AM Best Financial Strength AM Best rates insurance providers creditworthiness. Ratings are based on the provider’s ability to follow through with a payout when a consumer files a claim. | J.D. Power Overall Customer Satisfaction J.D. Power scores are based on surveys for customer satisfaction and product quality. | ||
|---|---|---|---|---|
| Pin OneAmerica | — | — | — | |
| Pin Nationwide | — | — | — | |
| Pin Lincoln Financial | — | — | — | |
| Pin Mutual of Omaha | — | — | — | |
| Pin NGL | — | — | — |
Information updated with sources current through 2025
Best Overall
Why we chose it
Pros
- Lifetime (unlimited) LTC options available
- Joint designs for couples with shared benefits
- Guaranteed premiums and benefit guarantees
Cons
- Medical underwriting applies; not all applicants qualify
- Hybrids can require higher upfront/limited‑pay premiums
- Features vary by state filing; verify availability
Other insurance products offered
- Single‑pay and limited‑pay funding options (e.g., 10‑pay)
- Whole‑life base with LTC acceleration and extension benefits
- Lifetime and fixed benefit periods (verify state forms)
- Inflation options (commonly 3% compound) and return‑of‑premium provisions
- Joint coverage mechanics for couples
Unique features
Asset‑Care is notable for offering lifetime LTC benefits and joint coverage structures that are increasingly rare in the market, with contractual guarantees (OneAmerica).
*Customer satisfaction is measured annually; check the latest independent studies for current scores (1,000-point scale).
Further Reading on OneAmerica
- OneAmerica Asset‑Care (official product page)
- NAIC: Long‑Term Care Insurance market overview
- Genworth/CareScout Cost of Care (interactive data)
Best Customer Service
Why we chose it
Pros
- Cash‑indemnity benefits allow flexible use (including family caregivers)
- Limited‑pay funding and inflation protection options
- Residual death benefit if long‑term care is not fully used
Cons
- Cash‑indemnity amount is capped by monthly maximum
- Medical underwriting required; features vary by state
Other insurance products offered
- CareMatters II cash‑indemnity monthly benefits (no receipts for covered amount)
- Funding options (e.g., single, 5‑, 10‑, or 15‑pay depending on state)
- Inflation options and potential international benefits (verify state form)
Unique features
CareMatters’ cash‑indemnity structure can simplify claims and broaden how benefits are used, compared with reimbursement‑only designs (Nationwide).
*Customer satisfaction is measured annually; check the latest independent studies for current scores (1,000-point scale).
Further Reading on Nationwide
- Nationwide CareMatters II (official product page)
- NAIC: Long‑Term Care Insurance
- CareScout Cost of Care (national and local medians)
Best for Consumer Flexibility
Why we chose it
Pros
- Guaranteed premiums with long track record
- Reimbursement structure aligns to documented LTC costs
- Funding flexibility (single‑pay and limited‑pay options)
Cons
- Reimbursement claims require submitting expenses/receipts
- Less flexible than cash‑indemnity for paying family caregivers
- State forms and riders vary; verify specific features
Other insurance products offered
- MoneyGuard Fixed Advantage linked‑benefit (life + LTC)
- Return‑of‑premium options and residual death benefit
- Inflation protection options and multiple funding schedules
Unique features
Established MoneyGuard franchise with guarantees and reimbursement‑style benefits that many buyers prefer for alignment to qualified LTC expenses (Lincoln).
*Customer satisfaction is measured annually; check the latest independent studies for current scores (1,000-point scale).
Further Reading on Lincoln Financial
- Lincoln MoneyGuard Fixed Advantage (official product page)
- NAIC: Long‑Term Care Insurance
- Society of Actuaries: LTC research and claims experience
Best Coverage Options
Why we chose it
Pros
- Broad availability; customizable benefit periods and riders
- Shared‑care for couples and multiple inflation options
- Often lower initial premiums than hybrids for similar pools
Cons
- Premiums are not guaranteed and can change with approval
- Medical underwriting and state‑by‑state feature differences
Other insurance products offered
- Traditional LTCI (MutualCare Solutions) with 2–5+ year benefit periods
- Shared‑care riders, nonforfeiture options, and inflation protection
- Partnership‑eligible policies in many states (verify availability)
*Customer satisfaction is measured annually; check the latest independent studies for current scores (1,000-point scale).
Further Reading on Mutual of Omaha
- Mutual of Omaha Long‑Term Care Insurance (official)
- NAIC: A Shopper’s Guide to Long‑Term Care Insurance (PDF)
- AALTCI: 2025 Price Index (premium benchmarks)
Best Tools Variety of Riders
Why we chose it
Pros
- Shared benefits and survivorship features for couples
- Limited‑pay options (state availability varies)
- Custom benefit periods and inflation choices
Cons
- Traditional LTC premiums are not guaranteed and can adjust
- State approvals and features vary; confirm current forms
- Medical underwriting and eligibility rules apply
Other insurance products offered
- Traditional LTCI with shared benefit and survivorship riders
- Flexible premium modes including limited‑pay (where approved)
- Inflation protection options and partnership eligibility in some states
Unique features
EssentialLTC is often considered alongside Mutual of Omaha to compare limited‑pay availability, shared benefits, and customizable periods for couples (NGL).
*Customer satisfaction is measured annually; check the latest independent studies for current scores (1,000-point scale).
Further Reading on NGL
- NGL EssentialLTC (official product site)
- NAIC: Long‑Term Care Insurance
- Milliman/Broker World: 2024 LTC Insurance Survey
Methodology
We evaluate linked‑benefit (life + LTC) and traditional stand‑alone LTC offerings using carrier strength and servicing reputation, distinct product features (cash‑indemnity vs. reimbursement), inflation protection and riders, funding options (single/limited‑pay vs. lifetime pay), breadth of coverage, and usability. We emphasize products broadly available in 2024–2025 per carrier materials and neutral industry sources, including NAIC, the Milliman/Broker World LTC survey, and carrier product pages. Ratings simplify shopping; premiums/eligibility vary by age, health, state, and options—always verify quotes and current financial‑strength ratings at purchase.
Cost of Long-Term Care Insurance
The price of LTC coverage depends on age, sex, health, state, and policy design (monthly benefit, total benefit pool/period, elimination period, riders). Benchmark 2025 new‑issue premiums for a typical traditional policy design (about a $165,000 initial pool with 3% compound inflation and a ~90‑day elimination period) are roughly $1,900–$2,900 per year for a 55‑year‑old male, $3,000–$4,200 for a 55‑year‑old female, and $4,200–$6,000 combined for a 55‑year‑old couple applying together. Premiums rise with age and richer inflation riders (AALTCI 2025 Price Index; Milliman/Broker World LTC Survey).
| Live-in Aid | Homemaker Services | Adult Day Health Care | Assisted Living Facility | Nursing Home Care | |
| Average Annual Cost | $75,600 | $68,400 | $21,600–$22,800 | $67,200–$69,600 | $104,400–$120,000 |
Information cited from Genworth Cost of Care Survey (2024).
Calibrate your monthly benefit to local costs (home care, assisted living, nursing home) and consider adding 3% compound inflation protection so benefits keep pace with rising prices. For example, if assisted living near you averages about $5,800/month and you can cover $1,500 from income, you might target roughly $4,300/month from insurance and choose a benefit period that builds a total pool you’re comfortable with (CareScout). Hybrids and stand‑alone policies differ on premium guarantees and death benefits; some buyers also compare annuities with LTC riders as alternative funding tools (NAIC; FINRA on annuities).
What are the Benefits of Long-Term Care Insurance?
LTC insurance can help protect retirement plans and reduce caregiver strain if you need help with daily activities or have cognitive impairment. Many shoppers evaluate coverage in their mid‑50s to early 60s when underwriting and pricing are generally more favorable (NAIC). Benefits increasingly support home‑ and community‑based care so people can age in place. Qualified benefits from tax‑qualified policies are generally tax‑free; for indemnity (per‑diem) policies, benefits are tax‑free up to $430/day in 2025 (IRS 2025 adjustments).
The following outlines just some of the benefits associated with obtaining a long-term care insurance policy:
- Variety of Care Options: Coverage can help pay for home health aides, homemaker services, adult day health, assisted living, and nursing facilities, settings where costs have been rising year over year.
- Range of Service: Depending on the policy, benefits may support caregiver training, respite care, care navigation, and home modifications to help you remain at home.
- Relief for Family Members: Insurance can fund paid support and reduce financial and emotional strain on family caregivers.
- Tax Advantages: Premiums for tax‑qualified LTCI may be deductible up to age‑based limits and can be paid with HSA funds up to those limits; benefits are generally tax‑free within IRS rules (IRS Pub. 502; IRS Pub. 969).
How Long-Term Care Insurance Works
Understanding how a long-term care insurance policy works now can save you and your loved ones a great deal of hassle in the future. Below is a step-by-step guide for how these policies work and how to receive your benefit:
- Step One: Decide between hybrid (life + LTC) and traditional LTCI. Hybrids typically offer guaranteed premiums and a death benefit if care is never needed; traditional policies often start with lower premiums but can be subject to future rate increases (NAIC).
- Step Two: Work with an agent to select monthly benefit, total benefit pool/period, elimination period, and inflation protection (3% compound is a common choice). Cash‑indemnity designs (e.g., CareMatters II) pay a set monthly amount; reimbursement designs (e.g., MoneyGuard) repay eligible expenses up to the monthly limit (Nationwide; Lincoln).
- Step Three: To claim, most policies require that you cannot perform at least two of six activities of daily living or that you have a severe cognitive impairment, with a care plan and physician documentation (NAIC).
- Step Four: An elimination (waiting) period applies, often measured in calendar days; some policies waive or shorten this for home care. Plan to self‑fund care during the EP.
- Step Five: After the EP, benefits pay up to the monthly maximum until the benefit pool is exhausted; certain hybrids (e.g., OneAmerica Asset‑Care) offer lifetime benefits (OneAmerica).
How to Buy Long-Term Care Insurance
Start by clarifying your goal: premium certainty and multi‑use value (hybrid life + LTC) versus potential lower initial premium (traditional LTCI). Compare cash‑indemnity vs. reimbursement claims, inflation riders, benefit periods, shared/joint designs for couples, and funding schedules (single/limited‑pay vs. lifetime pay). Favor experienced carriers and verify current financial‑strength ratings at purchase. If you have health conditions, an LTC‑savvy agent can pre‑screen underwriting to improve approvals (NAIC). Some buyers also evaluate annuities with LTC riders or use HSAs for tax‑efficient medical spending (FINRA on annuities; IRS Pub. 969).
If you happen to work for an employer that provides long-term care benefits to its employees, you should research the plan’s offerings thoroughly to ensure they’re able to meet your needs. While employer-sponsored benefits may offer simplified underwriting or contributions, confirm state availability, inflation options, and whether benefits are cash‑indemnity or reimbursement. Keep in mind evolving public initiatives (e.g., Washington’s WA Cares social insurance) can influence private market offerings and timelines (WA Cares Fund; NASHP LTSS financing tracker).
