Part of our guide: Long-Term Care Insurance: Costs, Options and Planning →
The biggest objection to long-term care insurance isn’t that clients don’t want it. It’s paying for something they may never use. Asset-based LTC with guaranteed premiums removes that objection.
Key takeaways
- Asset-based LTC pays for qualified care if needed, and leaves a death benefit or cash value if not.
- Some designs offer premiums that are guaranteed never to increase, even when paid for life.
- The guaranteed life insurance amount can be used for qualifying long-term care expenses.
If they need care, the policy pays for it. If they don’t, their family gets the death benefit. Either way, the premium did its job.
The “use it or lose it” objection
Long-term care is a risk, not a certainty, and many clients hesitate to put money toward something they might never need. Traditional LTC premiums can also rise over time, which adds to the hesitation.
How asset-based LTC with guaranteed premiums works
- Clients receive a guaranteed amount of life insurance, all of which can be used for qualifying long-term care expenses.
- If care isn’t needed, the death benefit or remaining value passes to heirs.
- Some designs, such as OneAmerica’s Asset Care, offer premiums guaranteed not to increase, including pay-for-life options, and credit a guaranteed interest rate to build cash value.
Who it fits
Clients who want certainty about cost, dislike the idea of “wasted” premiums, or have assets they’d like to reposition. See four client profiles for asset-based LTC. Contact our LTC team for a quote and a client-friendly summary.
Frequently asked questions
What happens if I never use my asset-based LTC policy?
The death benefit or remaining value passes to your beneficiaries.
Can long-term care premiums be guaranteed?
Some asset-based products guarantee premiums will never increase. Traditional LTC premiums generally aren’t guaranteed.
What is asset-based long-term care?
A life insurance or annuity product that includes long-term care benefits, so the money provides value whether or not care is needed.
Reviewed by Tim Fuller on 2026-09-25
Tim Fuller
President, SRS Inc.
Tim leads SRS Inc., a full-service IMO (Independent Marketing Organization) and BGA (Brokerage General Agency), connecting independent financial professionals with life, annuity, disability income, and long-term care solutions from 60+ carrier partners.
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