Intro
Buckle up, because diving into MutualCare policies might feel like taking the controls of a spaceship. These policies are packed with options—picture yourself surrounded by rows of buttons, switches, and screens, each one unlocking a different feature or add-on.
For some, this level of complexity is empowering, offering a fully customizable journey through long-term care insurance. If you're the type who enjoys exploring every feature in a new app and adjusting every setting, this policy could be right up your intergalactic alley. But if you prefer more simplicity, you may find another policy to be a smoother ride.
As you consider your options, let 'LTC' be your onboard navigation system: Learn about options, Talk with family, and Create a plan that supports your future trajectory.
Post jargon
benefit: the amount LTCi pays for covered care expenses
benefit period: the maximum time LTCi pays for care after criteria are met
benefit pool: total amount available in LTCi for care expenses
cash indemnity: pays the full benefit, regardless of the actual care costs
death benefit: a payout to a beneficiary from a hybrid policy after the insured passes away
elimination period: the waiting period after criteria are met before benefits start
exclusion: an insurance rule that denies benefits for specific risks
inflation protection: LTCi benefit that adjusts for rising costs
nonforfeiture option: LTCi feature allowing reduced benefits or partial premium return if policy lapses or cancels
premium: the payment to maintain insurance
rider: an insurance add-on
surrender options: LTCi cancellation options with partial premium refund or reduced benefits
underwriting: insurer’s review process to decide coverage and cost
➡️ Explore all the LTC jargon
What's special about it?
Many policies include special features in an effort to stand out in a competitive market. Let’s take a closer look at what this one offers.
Lots of options
Mutual of Omaha offers two policies that are very similar in price and benefits.
- Custom Solution: Provides lots and lots and lots and lots of customization. For example, have you ever stayed up at night worrying that 2.5% inflation protection is just too much and 2% is just too little? Never. But the Custom Solution offers 2.25% protection.
- Secure Solution: Provides similar coverage with fewer decisions. This version exists because the Custom Solution is so complicated.
The Custom Solution is like being handed a menu at a restaurant where you're asked to create your meal.
If you thrive on having control of every option, we’d be happy to guide you through the Custom Solution. Prefer simplicity? The Secure Solution might be a better fit between the two.
Shared Care
One of the many Custom Solution riders (add-ons) is an interesting one called Shared Care. This one sorta helps with the risk of extended long-term care of 10+ years (e.g., Alzheimer’s risk).
Here's how it works: If you and your partner purchase identical policies and one of you passes away, the surviving partner can access the unused benefits.
- Pros: One of you could get a lot more benefits than what you'd get from just your own policy.
- Cons: This rider only helps if (a) the deceased partner has remaining benefits, (b) the surviving partner needs extended LTC, and (c) the surviving partner needs extended LTC after their partner dies.
So is this good? Sorta. It's a long shot to receive this benefit, but it could be helpful.
More tax savings
As a traditional policy, MutualCare offers greater tax deduction opportunities. It also qualifies as a partnership policy, which can help protect some of your assets from MedicAID spend-down requirements if you deplete your LTCi benefits.
The details
If this policy sounds intriguing, we'll review the policy docs and only share what you need to know.
We’ll rate the benefits, premium, underwriting, and company from one to three stars (three being the best) compared to other LTCi policies.
Benefits
Benefits are what the policy pays for covered care expenses. Mutual of Omaha MutualCare offers tons of benefits as extra-cost riders, but the reimbursement payments with very limited cash options aren't great.
Premium
Premiums are the payments made to maintain insurance. Like most traditional policies, you make lifetime payments, with the possibility that rates may increase. While the likelihood of rate hikes is lower than in past decades, it’s still a risk to consider.
Underwriting
Underwriting is the insurer’s process to decide coverage and cost. Mutual of Omaha's MutualCare is pretty typical for most LTCi.
Company
Mutual of Omaha is a super-strong company with extensive experience in the LTCi industry.
Comparisons
How does MutualCare compare with other LTCi policies? Sort and search for things most important to you.
Next steps
If this policy sounds like a good fit, request quotes and mention "MutualCare" in your notes.
Wrap up
In a world of long-term care policies, this one is like a spaceship cockpit—loaded with options, but not for everyone.
This policy is ideal if you want:
- lots of customization options to chart your own course
- the ability to share your benefits with your partner
- solid tax advantages
But keep an eye on two red flags.
- 🚩 Your annual premiums can increase
- 🚩 Reimbursement payments aren’t as flexible as cash indemnity
Overall, this policy offers robust options, but make sure you're comfortable with the potential for rising costs and reimbursement limitations before committing.
