Traditional long-term care insurance (LTCI) is a type of insurance policy designed to help cover the cost of care when you can no longer manage daily activities on your own due to aging, chronic illness, or disability.

Unlike regular health insurance or Medicare, traditional LTCI specifically covers services related to long-term, custodial care, whether it’s received at home, in an assisted living facility, or in a nursing home.

How It Works

Traditional LTCI works similar to auto or homeowners’ insurance where you pay recurring premiums for as long as the policy is in effect. Then, should you require extended care, you can claim your benefits. After satisfying an elimination period (similar to a deductible), the policy begins paying a daily or monthly benefit amount for your care, up to a set limit.
You can customize your policy with features like:

• Benefit amount – How much coverage you receive per day or month
• Benefit period – How long benefits are paid (e.g., 2 years, 5 years, lifetime)
• Inflation protection – Increases your benefit over time to keep up with rising care costs
• Elimination period – The number of days you must pay out-of-pocket before benefits begin

What It Covers

Traditional LTCI typically covers:

• In-home care and personal assistance
• Assisted living facility costs
• Nursing home care
• Adult day care services
• Home modifications and medical equipment
• Care coordination services

Why Choose Traditional LTCI?

Traditional LTCI is ideal for those who:

• Want to protect their savings from the rising cost of long-term care
• Prefer a policy designed specifically for care needs
• Are in good health and applying well before they need care
• Want flexibility in where and how they receive care

Unlike hybrid or short-term policies, traditional LTCI offers comprehensive, stand-alone protection focused solely on long-term care, not life insurance or annuity benefits.

Is Traditional LTCI Right for You?

Long-term care insurance is not one-size-fits-all. If you’re thinking about how to protect your financial future and your family from the cost of care, traditional LTCI might be a smart option. Speak with an LTC Advocate to explore policies and find a plan that fits your needs and budget.