Hybrid policies, often referred to as asset-based or linked benefit policies, combine long-term care coverage with life insurance or an annuity. It’s a flexible option for those who want to protect their retirement savings from the high cost of care while also leaving behind a legacy for their loved ones.

These policies use a single lump-sum premium or structured payments to fund both long-term care benefits and a death benefit, offering a unique way to get value from your investment no matter what happens.

How It Works

In return for a lump sum premium (in most cases), you get:

• Long-term care coverage: If you need care, the policy provides monthly benefits to help cover costs.
• Death benefit: If you never need care, your beneficiaries receive a tax-free life insurance payout.
• Return of premium: Many policies offer a money-back guarantee if you change your mind.

This makes hybrid LTCI a low-risk option, so your money isn’t “lost” if you never use the care benefits.

What It Covers

Hybrid policies cover many of the same services as traditional long-term care insurance, including:

• Home care and personal assistance
• Assisted living facilities
• Nursing home stays
• Adult day care
• Hospice and palliative care
• Caregiver support and care coordination

Why Choose Hybrid LTCI?

Hybrid long-term care insurance may be a great fit if you:

• Have assets set aside for care or legacy purposes
• Want to avoid “use-it-or-lose-it” insurance
• Are concerned about future care costs but want a returnable investment
• Prefer simplified underwriting (some policies are easier to qualify for)
• Value flexibility and guaranteed benefits

You get long-term care protection, financial certainty, and a way to leave something behind—all in one policy.

Is Hybrid LTCI Right for You?

If you’re looking for a smart way to prepare for long-term care without sacrificing your legacy, hybrid LTCI may be the solution. Speak with an LTC Advocate today to learn how these policies work and whether they’re a fit for your goals.