Intro
NGL EssentialLTC is a traditional policy that stands out in the world of long-term care insurance (LTCi) for a few special features:
- Lifetime benefits (optional) 👀
- Joint policy (optional)
- Premiums won't go up (optional)
- Return of premium (optional)
- More tax savings
The lifetime benefit option makes EssentialLTC a popular choice for both individuals and couples seeking coverage for extended memory care costs.
In the market, you’ll find two lifetime benefit options:
- OneAmerica AssetCare (hybrid)
- NGL EssentialLTC (traditional)
We compared the AssetCare policy to the Energizer Bunny, so we likened EssentialLTC to the Duracell Bunny. Yes, Duracell launched a bunny campaign too—both batteries are built to keep going, but there are some key differences. We’ll explain.
As you consider your options, let "LTC" guide you: Learn about options, Talk with family, and Create a plan that supports your shared future. If you want to insure for the costs of Alzheimer's care, this policy should be considered in your plan.
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.
Lifetime benefits
EssentialLTC is the only traditional policy to offer lifetime benefits.
Yep, this one is a doozie.
Most policies limit the benefit period to 6 to 8 years, but EssentialLTC coverage keeps going for your lifetime.
It’s important to weigh the cost of lifetime benefits, but it might be more affordable than you’d think—especially if you get a joint policy.
Joint policy
EssentialLTC offers two options: individual policies or a unique joint policy—the only traditional joint policy on the market.
The joint policy differs from buying two individual policies in a few ways:
- Lower overall cost: Joint policies generally cost less than purchasing two separate policies.
- Delayed death benefit: Unlike individual policies, where the surviving partner receives the death benefit when the first partner passes, joint policies delay the payout until both partners have passed.
- Shared benefit amount rider: For an extra cost, partners can access an additional pool of benefits—providing extended coverage without paying for lifetime benefits.
Here's how it works:
- Each partner starts with a fixed benefit period. In this example, we'll use 6 years.
- If Partner A or B uses their 6 years, they can tap into a third, shared pool of an extra 6 years.
In the above example, person A could use 6 years of benefits and person B could use 12 years. This is one option to help with extended memory care costs.
Premiums won't go up (optional)
Most traditional policies require lifetime premium payments—and those premiums can increase. Nobody likes that. With EssentialLTC, you have two ways to lock in your costs:
- Single-pay: Pay once, and that’s it.
- 10-pay: Spread payments over 10 years, and you’re done.
In both cases, your premiums are locked in and won’t increase. 👍🏼
Return of premium (optional)
Traditional policies are often a “use it or lose it” deal—people don’t love that. With EssentialLTC, you can add a rider to get back some or all of your premiums, minus any benefits received.
More tax savings
As a traditional policy, EssentialLTC 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.
1035 exchanges
EssentialLTC is the only traditional LTCi policy that allows for 1035 exchanges. If you own a non-qualified, tax-deferred annuity or life insurance policy, you can transfer those funds directly—tax-free—to purchase an EssentialLTC policy. This can convert an otherwise taxable investment into a policy that provides tax-free long-term care benefits when you need them.
The details
If this policy sounds intriguing, we'll go down the rabbit hole and 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. EssentialLTC provides a rare option to receive lifetime benefits.
Premium
Premiums are the payments made to maintain insurance. This policy provides a cost-effective option to cover two people with a joint policy and features guaranteed premiums that won’t increase for single-pay and 10-pay payment options.
Underwriting
Underwriting is the insurer’s process to decide coverage and cost. NGL offers fairly strict underwriting.
Company
NGL is a well-established company with a strong rating, but we offer multiple insurers with higher ratings.
Comparisons
How does EssentialLTC 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 "EssentialLTC" in your notes.
Wrap up
Like the Duracell Bunny, EssentialLTC keeps going and going, providing protection from the unexpected costs that come with long-term care. With Alzheimer’s care that can last 10-20 years, its unlimited benefits are built to handle this significant risk.
Add in the optional return of premium benefit rider and joint policy option, and it’s a plan worth considering.
This policy is similar to OneAmerica Asset Care, so here's a comparison.
| OneAmerica Asset Care | NGL EssentialLTC | |
|---|---|---|
| Lifetime benefits | Yes ✅ | Yes ✅ |
| Policy type | Hybrid ✅ | Traditional |
| Payment | Reimbursement w/ some cash ✅ | Reimbursement |
| Death benefit | Yes ✅ | With a paid rider |
| Tax savings | Good | Better ✅ |
| Cost | Good | Better ✅ |
EssentialLTC offers slightly fewer benefits at a lower cost. To find the best option for your needs, request quotes from both plans and compare. We're here to guide you every step of the way.
