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Why You Need To Talk About LTCI

Most people envision themselves living a long life, investing and planning throughout their working years to create a financially secure future where they can enjoy spending time doing their favorite things.
 
As part of your client’s financial planning process, it’s important to understand the potential impact that needing long-term care may have on their assets, their family, and their future.

The reality is, as people start to live longer, the greater the likelihood is that your clients will require long-term care.

The costs associated with long-term care are significant.
 
While it can take decades to accumulate the assets they’ll need to retire comfortably, just a few years of paying for long-term care may threaten a lifetime of savings.
 
If you’ve ever been in a care-giving situation, you understand the physical and emotional toll it can take. While providing care to loved ones is an act of compassion, placing these burdens on spouses, children and other family members can create a significant emotional and physical strain, and is something that many people would like to avoid.
 
Don’t wait to address your client’s long-term care needs.
 
Incorporating Long-Term Care Insurance into financial plans today can help protect assets, reduce the burden of care that would otherwise fall on family members, and enable clients to receive care in the setting they most prefer, including their home.
 
Perhaps the greatest benefit: Long-Term Care Insurance allows loved ones to care about, rather than care for, each other.
 
We’re here to help you design a plan that is both affordable and the best solution for your clients’ needs – contact your LTCi Sales Reps for guidance.
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MEGA-LTC – Coverage With All The Advantages

The first car insurance was purchased in 1897, by Gilbert J. Loomis of Westfield, MA.It provided $1000 of liability coverage for an annual premium of $7.50. There is no record of how happy Mr. Loomis was when paying for the coverage, but in the 120 years since, few have been enthusiastic about buying automobile insurance. The premiums are high and unpredictable. Getting claims paid properly is difficult. And worst of all: accident-free drivers might as well be throwing the premium dollars out the driver-side window.
 

For a generation, similar complaints have been made concerning long-term care insurance, often discouraging your clients from buying the protection they need.

 
But those product shortcomings are gone! Consider introducing them to a policy that:
  • Guarantees premiums for the life of the policy and allows payment options ranging from single-pay to annual-for-life.
  • Guarantees benefits and allows for benefit inflation options.
  • Guarantees a death benefit, reduced only by the amount of any payments made for long-term care.
  • Guarantees a portion of the long-term care and death benefits even if scheduled premiums are stopped.
  • Guarantees benefits paid retroactively to day one after the 90-day elimination period is completed.
  • Guarantees payment of benefits in cash to be used as the policyholder sees fit.
  • Guarantees division of the benefits between spouses as needed.
  • Guarantees full or partial return-of-premium options in certain policy years if the policyholder chooses to end coverage.
And all the policy features have a range of flexibility in design so the coverage can be customized to meet each client’s particular needs and circumstances. Bring your clients’ long-term care planning to us.
 
For What It’s Worth – The first automobile manufacturer, the Oldsmobile Motor Company, was founded in Lansing, MI, the same year Mr. Loomis bought his policy, but the coverage was on a car he had built himself!
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Put The Power Of Storytelling To Work For You

You already know that quoting statistics doesn’t sell Long-Term Care Insurance. That’s because most people don’t see themselves needing LTC services, and using statistics to try to tell them otherwise will do little to convince them.

Barraging prospective clients with product benefits and features doesn’t work either. If they don’t believe they need LTC Insurance, touting all the bells and whistles of the product isn’t enough to make the sale.

So how do you get people to sit up and take notice? Tell them a compelling, engaging story about the positive impact an LTC policy had on someone’s life.
 
Find a good story.
 
Chances are you already have a story that will work for you. Draw on your own experiences. If you’ve ever had to care for a parent or grandparent, you know how difficult it can be.
 
Or you can use other people’s stories. A story doesn’t have to be your own. It can be just as powerful to share the experiences of family members, friends or clients.
 
Make it memorable.
 
When telling your story, paint a word picture. Don’t just describe what happened. Instead, talk about how it made you or the people involved feel.
 
Also, you need to make sure your story is relevant. A prospective client with no children probably won’t relate to a story about how difficult an LTC situation is on the kids.
 
Finally, don’t scare people. Make sure your story has a happy ending that comes about because of LTC.
 
Get your clients to share their stories.
 
According to a survey of LTC policyholders, 78% said they had a family member or friend who needed LTC services.
 
So your story may prompt prospective clients to recall stories of their own. Ask questions that invite them to talk about these experiences. Who knows, this might be how you get your next good story.
 
Here are five questions that will help you prompt clients to share their stories:
  • Do you know someone who needed Long-Term Care services?
  • Who provided their care? (Generally, a spouse or child is the primary caregiver.)
  • What effect did this have on the caregiver? On the family?
  • How did they pay for the care they needed?
  • What effect did this have on their finances? On their retirement plans? On the inheritance they hoped to leave for their kids?
For more sales ideas, contact your LTC Specialist today.
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Mutual of Omaha: Results From the Annual Cost-of-Care Study

The Cost-of-Care Study Results are In
 
Every year, Mutual of Omaha conducts a cost-of-care study across all 50 states, and the latest results are in.
 
The cost of care services continues to rise. Current figures show the average annual cost for a home health aide is approaching $80,000. Assisted living costs have also increased, and a private room in a nursing home now carries an even higher annual price tag.
 
Mutual of Omaha has updated their cost-of-care tools to reflect these changes and help you guide conversations with clients about how they intend to pay for long-term care.
 
Resources for Long-Term Care Sales:
  • Cost-of-Care Sales Ideas — Use the Rising LTC Costs Flyer and the Sales Idea Flyer: Help Clients Stay at Home to have powerful conversations with clients, including links to the materials that can be used.
  • Cost-of-Care Calculator — See the current cost of LTC services by state and view what those costs might be 5, 10 or 20 years down the road. You can also adjust the inflation percentage from 1%–5% to model different cost scenarios.
  • Cost-of-Care Brochure — Use this brochure to help your clients understand the current cost of LTC services in their state.
We’re Here to Help
 
If you have any questions about the LTC resources or Cost-of-Care Study, please reach out to your LTC Sales Associate.
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Myth: Long-Term Care Is Just For Nursing Homes

Originally, the primary reason LTC Insurance was created was because it would help cover the high costs of a nursing home. But over the years, the policies have changed dramatically.

Now LTC Insurance is a comprehensive product that helps cover the cost of a variety services.

Consider the real-life Long Term Care example of Joe
 
He had helped care for both his parents for many years. So, he decided to purchase LTCi to help protect his family from the same responsibilities that he had with his parents.
 
Later in life, Joe developed an advanced stage of diabetes and several health problems occurred, including blindness and the amputation of his leg. His LTCi policy helped him stay at home by paying for renovations to his home, including ramps and grab bars.
 
The care coordinator helped walk Joe and his wife through the types of care he needed and provided a referral list of care providers in the area. His wife was able to receive caregiver training and a home health care nurse visits during the day while his wife is at work. LTC Insurance helped Joe stay in his home and have the care he needs.
 
There are many reasons to obtain Long-Term Care coverage, that can benefit both your client and their family.
 
To learn more, contact your Long-Term Care Specialists today.
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Open the Door to Small Business Sales

Selling Long-Term Care Insurance to small business owners is not like the emotional roller coaster sale it is when selling to individuals. Business owners tend to look at this as a logical discussion of how you can help with their business finances.
 
Many are always looking for a way to save on taxes so a great way to open the door to an LTC sale would be, “If I could show you something that could help your business reduce its tax burden, would you be interested?”

All businesses can deduct LTC Insurance premiums paid using business dollars.

Depending on the tax structure of the business, the owner can either deduct the actual premium or eligible premium.  How?
 
Owners of C corporations can deduct the actual premium paid on a LTC Insurance policy for the owner / employee, spouse, dependents and a designated class of employees.
 
Self employed business owners such as sole proprietors, partnerships or LLCs can deduct the eligible premium paid for the owner, spouse and dependents. The eligible premium is established annually based on the medical care components of the Consumer Price Index.
 
This opportunity allows you to approach any type of small business because you are able to offer a money saving solution. Be sure to approach small business owners with a plan that provides essential LTC coverage and allows them to take advantage of federal tax incentives.
 
For more information about selling LTC to small business owners contact your LTC Specialist today.
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4 Ways LTC Insurance Provides Tax Advantages

When meeting with clients to discuss the benefit that a Long-Term Care (LTC) Insurance policy has on their overall financial plan, tax deductions might not be the first thing you emphasize, but should be one of your top five discussion points.

Taking the time to explain the tax advantages may provide the tipping point for clients who are hesitant about purchasing a policy.

Here are a few scenarios on how to approach each type of client:
 
The Client On The Fence
 
Many states offer a deduction or credit on paid LTC Insurance premiums, which can make purchasing coverage more attractive to your clients. For example, in the state of Ohio, residents are able to deduct the entire annual premium for their LTCI policies on their tax returns.
 
The Planner
 
If you are working with clients on their tax strategy, consider turning their tax refund into an LTC Insurance premium payment. It’s a great way to plan for the cost of the insurance and can make annual premium payments a non-event.
 
Business Owners
 
When a C-Corporation purchases a policy on behalf of its employees, and their spouses or dependents, the corporation is entitled to take 100% deduction as a business expense on the total premiums paid. If self-employed, clients can deduct 100% of their out-of-pocket LTC premiums up to the age-based Eligible Premium amounts*.
 
Current Policyholders
 
Clients who already have an LTC Insurance policy may not know about the tax deductions available to them. So during your annual review, be sure to educate them about a missed opportunity to take a tax deduction.
 
Contact your Long-Term Care Specialist today to learn more about the tax advantages of LTC Insurance.
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The A-B-C’s Of The Cash Benefit

Everyone knows what cash can do. Use this simple concept to demonstrate the value of purchasing a Long-Term Care policy that includes a built-in cash benefit.
 
Take out a piece of paper and write on it vertically: A, B, C.
 
A is for Assets
 
When the need for Long-Term Care first arises, many people worry they may not have assets available to pay for care they need. This is especially true for people who may have to liquidate assets like stocks, CDs or even property to pay for their care.
 
B is for Burden
 
Families typically step in to help a loved one who needs Long-Term Care. But that may be difficult for adult children who have their own family and career responsibilities. If your clients are like most people, the last thing they want to do is to become a burden to their family.
 
C is for Choices
 
A Long-Term Care Insurance policy that offers a cash benefit can help someone receive care in the comfort of their own home.
 
The cash can be used however its needed most. Whether it’s to pay for an airline ticket or a tank of gas so a child can help out or for housekeeping or meal delivery services.
 
With one of our strategic carrier providers, the cash is available to you on day one. That means when you become eligible for benefits under your policy, there’s no waiting period to qualify for cash. This is something you won’t find from other insurance companies.
 
In addition, should your client need a higher level of care someday, they always have the choice to switch from the cash benefit to a traditional reimbursement benefit, which reimburses for the actual Long-Term Care services expenses incurred.
 
For more information about this sales idea, contact your LTC Specialists today.
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Why Family Should Not Be A Long-Term Care Plan

One reason why you need to bring up the topic of Long-Term Care with your clients: family.
 
Past history has shown us that parents who do not plan adequately for their long-term care needs ultimately end up sacrificing their income, assets and financial promises that they have made to pay for their care.
 
Since we are on the topic of history, it is also proven that if a parent does not have a proper plan in place, their family becomes their long-term care plan.

Parents must consider the potential physical, emotional and financial damage that is also done to the family members who are personally involved in delivering their long-term care.

There are a myriad of issues to consider when a family gets involved in their parent’s long-term care plan. Among them:
  • Time Management
  • Geography
  • Funding
Think about how pressed for time your children already are – balancing families, careers and child activities.
 
Ponder also the challenges that could ensue from a care giving perspective geographically speaking if they do not all live in the same city. Then there are funding issues to consider as well, because someone has to pay for the care.
 
Further, multiple polls have taught us that most children do not want to take care of their parents, but when faced with these circumstances – they can and almost always do care for their parents… even if their relationship is not strong with them.
 
Long-Term Care and the challenges associated with it can often require more and more of family members’ involvement as time passes.
 
The collateral damage that can be associated with being directly involved in a family member’s long-term care plan can often involve irreversible damage to relationships within the caregivers, and there can also be profound resentment toward the folks that the care is being delivered to.
 
Keep in mind also the opportunity costs that your family could be experiencing as it relates to their career, children, church or synagogue because the time that is usually allocated to these aforementioned items has now been allocated to you.
 
There are a variety of ways available to possibly remove this potential burden from your family.
 
Talk to your LTCi Sales & Marketing Associate today to learn more.
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Are Your Clients Prepared for Rising LTC Costs?

Over the years, we’ve observed clear and consistent trends in the long‑term care market. While the cost of care has increased across all provider types, facility‑based care has continued to rise at a faster pace than care delivered at home—placing growing pressure on retirement assets.
 
If you live to age 65, there is approximately a 70% chance you will need some form of long‑term care services during your lifetime.
 
This makes proactive financial planning essential for managing future care costs and protecting long‑term financial security.
 
Current Costs of Long‑Term Care
 
Most long‑term care claims are paid for home care or assisted living, both of which generally cost significantly less than skilled nursing care.
  • Home Health Care Aide: The national median hourly rate for home health aide services is $35 per hour (2025).
  • Assisted Living Facilities: The national median annual cost for an assisted living facility is approximately $74,400 per year, based on a median monthly cost of about $6,200 (2025).
  • Nursing Home (Private Room): The national median annual cost for a private room in a nursing home is approximately $131,600 per year, based on current median monthly pricing (2025).
Projected Future Costs
 
As care costs continue to rise, your clients’ assets face increasing exposure. Assuming an average three‑year claim and a 3% annual inflation rate, the projected cost of a private room in a nursing home 25 years from now could exceed $240,000 per year, resulting in a total cost of roughly $720,000 over three years.
 
Without preparation, these expenses can quickly derail even well‑structured retirement plans.
 
Planning for Long‑Term Care
 
Given today’s cost environment, planning ahead is more important than ever. In 2024, long‑term care insurance carriers paid tens of billions of dollars in claims, continuing a multi‑year trend of historically high benefit payouts.
 
Yet despite the likelihood of needing care, only about 3% to 4% of Americans age 50 and older currently own long‑term care insurance.
 
Evaluating long‑term care insurance solutions can be a prudent step toward:
  • Preserving retirement assets
  • Providing flexibility in care choices
  • Reducing the financial burden on family members
Contact your LTC Specialist today for assistance with your cases and client planning needs.
 

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