Perhaps you’ve heard of the Federal Long Term Care Insurance Program (FLTCIP), but you may wonder, “Is that for me?”
Continue reading below to get familiar with the Federal Long Term Care Insurance Program, including who it’s for and how it works.
What Is the Federal Long Term Care Insurance Program?
The Federal Long Term Care Insurance Program (FLTCIP) offers access to long term care insurance for eligible participants. Participants can enroll in selected long term care insurance coverage for themselves and their eligible dependents.
Who’s the FLTCIP for?
First, the FLTCIP is NOT a federal long term care insurance plan for all tax-paying individuals. This program is limited to select people.
“The Federal Long Term Care Insurance Program (FLTCIP) provides long term care insurance for enrollees who are Federal and U.S. Postal Service employees and annuitants, active and retired members of the uniformed services, and their qualified relatives.” www.ltcfeds.com
How Does It Work?
Eligible participants of the FLTCIP can choose from the following benefits:
Daily Benefit – participants can select coverage between $100 and $450 per day in $50 increments.
Benefit Period – participants can select from the following benefit periods:
- 2 year
- 3 year
- 5 year
Waiting Period – 90 calendar days
Inflation Protection – participants can select from two inflation protection options:
- Automatic compound inflation: 4% or 5% automatic compound inflations. Your daily benefit and the remaining portion of your maximum lifetime benefit increases automatically each year at 4% or 5% compounding. Your premiums do not increase each year due to inflation.
- Future purchase option: Every two years your daily benefit and the remaining portion of your maximum lifetime benefit increases. Notices are sent to participants before increases take place on January 1. If you do NOT want to take the increase, you must send your request for rejection prior to the increase. Accepting the increase is automatic and your premium increases each time.
I’m Eligible for the FLTCIP, Where Can I Learn More?
Great! You can learn more about the Federal Long Term Care Insurance Program and how to apply at www.ltcfeds.com.
I’m NOT Eligible for the FLTCIP, What Are My Options?
If you don’t fall under the definition of an eligible participant, you may still purchase long term care insurance coverage on your own. When it comes to long term care, it’s not a matter of if, but when.
The cost of care is growing each year and could garner a significant amount of your nest egg in the event you or a spouse needs care. Are you prepared? Plan for your future and explore your options now while you’re young and healthy.
Speak with an LTC Specialist Today
An LTC Specialist can shop the market for you to find the plan and carrier that fits your needs and budget. Request a free quote today and work with a dedicated LTC Specialist to educate you on your long term care insurance options.
LTC Consumer is an independent, free online service to help consumers understand what long term care insurance is, how it works, and how to evaluate coverage options. Our mission is to provide an educational, no-pressure resource for learning about long term care planning, with the opportunity to speak with specialists who can help them.