Best Long-Term Care Insurance

Founded in 1845, New York Life is one of the top-rated long-term care insurance providers in terms of overall financial strength. It has received the highest ratings for financial strength by the top rating services, including an A++ from AM Best. It wins our nod for overall best due to this strength and an innovative long-term care and life insurance policy.

Named one of the best life insurance companies of 2023 by our team at Investopedia, New York Life offers two types of long-term care insurance. Its combination long-term care insurance plan offers—as the name suggests—a combination of long-term care (if needed) or a larger life insurance benefit. Long-term care coverage is provided for expenses related to various choices, including care from a facility, care at home, or care from a family member. 

The company's traditional long-term care insurance plan is a better choice for those who want the most coverage per dollar, the broadest range of care options, and protection for their assets and income during retirement.

Covered facilities include nursing facilities and assisted care living facilities. When selecting a plan with New York Life, you can choose the facility's maximum daily benefit—$50 to $400 per day. There's also a choice of benefit periods from two years to seven years. You can choose from 50% to 100% daily coverage for home and community-based care. Lastly, you can select a specific waiting period—the time individuals will have to pay for services out of pocket before coverage kicks in—with a choice between 90 or 365 days. Additional riders are available at an extra cost.

Founded in 1909 and with an AM Best rating of A+ (Superior), Mutual of Omaha offers one long-term care base plan. It has built-in features that can be customized as needed. As part of the standard plan, customers can get:

• Cash benefits instead of being reimbursed for actual costs
• Access to a care coordinator who can assess your needs, develop an individual care plan, and arrange services as needed
• Waiver of premium, which allows customers to stop paying monthly premiums while receiving LTC
• Coverage for alternative care that may not yet exist

Additional benefits are available for an extra cost, such as inflation protection, shared care (allowing partners to share benefits if needed), and a return of premium for any benefits not used.

A married 60-year-old woman can expect to pay between $160 and $319 per month for $2,100 to $4,100 in monthly benefit amounts, while a married 70-year-old woman can expect to pay between $249 and $497 for the same coverage amounts. A married 75-year-old woman can expect to pay between $363 and $726 monthly.

The company stands out with its two discounts that benefit couples whether legally married, in a domestic partnership, or otherwise in a serious, committed personal relationship with a shared residence for the past three years or more. Couples with both partners signed up for Mutual of Omaha can receive 15% off their policies. In situations where only one partner in a long-term relationship has a policy with the company, a 5% discount applies. There's a third discount available to customers for being in good health regardless of their relationship status; eligible customers can save 15% on their bill.

In business since 1905, Lincoln Financial Group has earned an A (Excellent) rating from AM Best. The company is best in our review for no-waiting period plans. Its MoneyGuard II and MoneyGuard III policies both offer zero-day elimination periods for accessing coverage for nursing homes and assisted living facilities. Other companies on this list generally require a minimum of 90 days before granting coverage for such services.

With MoneyGuard II, a universal life insurance plan with an optional long-term care benefit rider, premiums are locked in from the start. Customers can get tax-free reimbursements for qualifying LTC costs, and there's no waiting period.

Some of the key features of the company's other no-elimination-period plan, MoneyGuard III, include no medical exams or lab tests required for underwriting, a couple's discount, the choice of a range of inflation protection options, and a death benefit ranging from $50,000 to $500,000. The company's terminal illness rider allows for a one-time claim of 25% to 75% of the death benefit up to $250,000 in the event of a terminally life-threatening condition.

Dating back to 1863, originally as part of Travelers Insurance Company, Brighthouse Financial has more than 2 million customers and an A (Excellent) rating from AM Best. The company's hybrid life insurance and long-term care insurance plan offer customers LTC coverage if needed, or a death benefit for dependents. Policyholders have the option to link the policy to market indices—giving customers the chance to grow LTC benefits, with built-in protection during economic downturns and the option to lock in the value at any time.

Because the plan doesn't require customers to provide receipts or track expenses, this is a no-hassle option for receiving benefit payments, which is why it gets our nod as best for easy benefits payout. Customers can also take a loan against the policy at any time and surrender the policy for its full cash value at any time. 

Brighthouse Financial also offers a guaranteed death benefit and terminal illness benefit, with a payout of 50% of the policy's value capped at $250,000. As with many other plans, there is an elimination period. In this case, it is a 90-day wait time. No labs or exams are required for customers ages 40 to 75, and no medical records are required for those 40 to 65, except for a significant medical condition.