Long-Term Care (LTC) insurance is evolving, reshaping how employers and brokers think about long-term protection.
As insurance carriers adjust standalone LTC availability, many organizations are left with open questions.
- What options remain?
- How do these changes affect existing strategies?
- And how can employers continue offering meaningful protection without overwhelming employees?
While the landscape is shifting, the need for long-term planning hasn’t gone away. What has changed is how those conversations are happening.
Why Standalone LTC Is Shifting
Standalone LTC insurance has long presented challenges for carriers. Rising claim costs, extended benefit periods, and early pricing assumptions have made long-term sustainability difficult.
Over time, many insurers reduced or eliminated their standalone LTC offerings. By the early 2010s, the majority of carriers had exited the market, leaving fewer options available today.
Standalone LTC plans still exist, but availability is more limited and often comes with stricter underwriting and higher premiums.
At the same time, many carriers have requested significant premium increases on existing blocks of business to address long-term risk and claims experience.
For employers and brokers, this has made standalone LTC harder to position as a consistent, long-term solution.
The Questions Employers and Employees Are Asking
As standalone LTC options become less predictable, conversations tend to shift quickly.
Employees often ask:
- Will this coverage still be there when I need it?
- Are there options that feel more flexible?
- What happens if I never use the benefit?
Employers, meanwhile, are focused on offering benefits that support financial security without introducing unnecessary complexity or confusion.
These questions highlight a shared need: clarity.
Where Life Insurance with Long-Term Care Fits
As standalone LTC becomes less accessible, many benefits discussions are turning toward Life Insurance with Long-Term Care features, often referred to as hybrid or linked-benefit solutions.
These products combine life insurance protection with access to LTC benefits if care is needed. If long-term care is never required, a death benefit remains.
According to EY and LIMRA research, interest in combination products continues to grow as both consumers and carriers seek more balanced approaches to long-term care planning.
Key characteristics often include:
- A clearer value proposition
- Benefits that serve more than one purpose
- A structure that many employees find easier to understand
While these solutions aren’t designed to replace every standalone LTC scenario, they can provide a practical alternative when flexibility and simplicity are most important.
Supporting a Thoughtful Transition
The challenge isn’t just identifying alternatives; it’s managing change in a way that feels steady and intentional.
Successful transitions often focus on:
- Transparent communication
- Education that avoids technical language
- Support before, during, and after enrollment
When employees understand why changes are happening and how new options work, they’re more likely to feel confident rather than unsettled.
The Role of Education in Long-Term Care Planning
Long-term care decisions are rarely made quickly, and they shouldn’t be.
Research shows that many individuals underestimate the likelihood of needing care later in life, even though most will require some form of long-term care.
This makes education a critical part of any LTC-related benefit strategy. Clear explanations, realistic examples, and ongoing access to resources can help employees make informed decisions without pressure.
How Brokers Can Guide the Conversation
For brokers, changing LTC availability reinforces the importance of adaptability.
Helpful approaches include:
- Evaluating current market options regularly
- Framing Life with LTC solutions as part of a broader planning conversation
- Partnering with organizations that provide year-round support, not just enrollment assistance
Brokers who lead with education and preparation are better positioned to support both employers and employees through change.
Planning with Confidence
Standalone LTC may be changing, but the need for long-term care planning remains constant.
By understanding how Life Insurance with Long-Term Care solutions fit into today’s benefits landscape, employers and brokers can continue to offer protection that is relevant, understandable, and sustainable.
At The Voluntary Benefits Shop, we work alongside brokers and employers to navigate these transitions with education, strategy, and year-round support—so benefits decisions don’t feel uncertain, even when the market shifts.