What is the Long-Term Care Period?
The Long-Term Care (LTC) period is the time over which the insurance company pays benefits. Generally, you can choose either the contract period method or the equal payment rate method.
Contract Period
Under this method your LTC period is the same period the insurance company uses under the contract to compute the benefits it pays you. For example, if the insurance company computes your benefits on a daily basis, your LTC period is 1 day.
Equal Payment Rate
Under this method, your LTC period is the period during which the insurance company uses the same payment rate to compute your benefits. For example, you have two LTC periods if the insurance contract computes payments at a rate of $175 per day from March 1, 2025, through May 31, 2025, and then at a rate of $195 per day from June 1, 2025, through December 31, 2025. The first LTC period is 92 days (from March 1 through May 31) and the second LTC period is 214 days (from June 1 through December 31).
Contract Period
Under this method your LTC period is the same period the insurance company uses under the contract to compute the benefits it pays you. For example, if the insurance company computes your benefits on a daily basis, your LTC period is 1 day.
Equal Payment Rate
Under this method, your LTC period is the period during which the insurance company uses the same payment rate to compute your benefits. For example, you have two LTC periods if the insurance contract computes payments at a rate of $175 per day from March 1, 2025, through May 31, 2025, and then at a rate of $195 per day from June 1, 2025, through December 31, 2025. The first LTC period is 92 days (from March 1 through May 31) and the second LTC period is 214 days (from June 1 through December 31).
