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Universal Life Insurance with Long-Term Care
Trustmark Universal Life Insurance with Long-Term Care (LTC) includes guaranteed issue coverage up to $75,000 for employees up to age 64 and a LTC require solution1. Those who previously applied or had current coverage require underwriting.
A $75,000 Universal Life with LTC policy provides a $3,000 monthly LTC benefit for up to 50 months, plus your beneficiary still receives the $75,000 death benefit payment2. Universal Life Insurance can protect your retirement assets against Long-Term Care bills (Home Health Care, Adult Day Care, and Assisted Living) and provide security for beneficiaries. Universal Life insurance offered through Trustmark Insurance Company is an important part of a balanced financial plan. Please watch the Universal Life Insurance video for more information on this benefit.
It is different than Supplemental Term Life Insurance in a number of ways. In addition to providing death benefits to your family, this versatile benefit builds cash value that can help with other financial needs. Your premiums fund a cash-value account with the remaining amount that's left after you pay the cost of insurance. As the policy owner, you can borrow money from your cash-value account. You do not have to pay back this money, however you will have to pay the interest. The outstanding balance reduces the death benefit by how much you owe.
Your options are flexible, so you can select the insurance protection and cash value components that meet your needs. You can adjust your benefits as your needs change. And once you have been approved for coverage, your premiums and coverage remain the same unless you choose to adjust them.
Coverage is available for your spouse, children and grandchildren, even if you do not purchase coverage for yourself. Coverage is portable so you can take your coverage with you if you retire, reduce your hours or change jobs.
Exclusions, limitations and restrictions may apply. May be available on a guaranteed issue or modified guaranteed issue basis (some exceptions may apply).
Universal Life Insurance Long-Term Care Benefit Information
Universal Life Insurance can offer valuable monthly long-term care benefits. The tables below offer a sample of the average monthly long-term care benefit per coverage election, as well as the average cost for long-term care coverage in the State of Michigan.
|Universal Life Insurance overage Election||Long-Term Care Benefit|
|$25,000 (Guaranteed Issue)1||$1,000 per month|
|$50,000 (Guaranteed Issue)1||$2,000 per month|
|$75,000 (Guaranteed Issue)1||$3,000 per month|
|$100,000 (Modified Guaranteed Issue)1||$4,000 per month|
Long-Term Care Coverage Costs in the State of Michigan
|Long-Term Care Coverage||State of Michigan Cost|
|Adult Day Care||$1,733 per month3|
|Assisted Living||$3,850 per month3|
|Home Health Aide||$4,385 per month3|
|Nursing Home (Semi-Private)||$8,562 per month3|
1Exclusions, limitations, and restrictions may apply. May be available on a guaranteed issue or modified guaranteed issue basis (some exceptions may apply).
2Availability and naming of LTC benefits varies by state. Benefit Restoration and Extension of Benefits are not available in all states.
3Genworth Cost of Care Survey 2018, conducted by CareScout®, June 2018. Assumes 44 hours per week of services.
Universal Life Sample Rates
Shown below is a sample of bi-weekly premiums for the Universal Life Insurance with Long-Term Care plan.
|Issue Age||Death Benefit||Premium|
Eligible State of Michigan employees are able to apply for the Guaranteed Issue amount of up to $75,000 in coverage during the 2023 Benefits for Life open enrollment.
Current Universal Life Insurance policy holders were able to apply for coverage or additional riders during the 2023 Benefits for Life open enrollment. However, they will be subject to underwriting. Individuals who previously applied for Universal Life Insurance coverage that was not taken, declined, cancelled, withdrawn, lapsed or surrendered who applied for coverage must go through underwriting.
Shown below is listing of policy features for the Universal Life Insurance with Long-Term Care plan.
|Feature||Description||Built-In or Optional|
|Long-Term Care Benefit||
After 90 days of confinement or services, provides a monthly benefit of 4% of the death benefit amount, for up to 25 months, for a medically necessary stay in a qualified long-term care facility or assisted living facility, a medically necessary home health care, and adult day care services. Benefits are paid as advance death benefits and will proportionately reduce both the final death benefit payable to the beneficiaries and the plan's cash value. Benefits paid may or may not be taxable, depending on how the IRS interprets applicable portions of the Tax Code.
Extension of Benefits*
Extends the initial 25 months for a medically-necessary stay in a qualified long-term care facility or assisted living facility, medically necessary home health care, and adult day care services to 50 months (maximum). Benefits are paid as advance death benefits and will proportionately reduce both the final death benefit payable to the beneficiaries and the plan's cash value. Benefits paid may or may not be taxable, depending on how the IRS interprets applicable portion of the Tax Code.
Death Benefit Restoration*
If long-term care benefits are paid from the policy, this feature restores the full death benefit amount payable to your beneficiary upon your death.
Accelerated Death Benefit
If you become terminally ill and a physician determines death will most likely occur within 24 months, you may request up to 75% of the plan's death benefit (to a maximum of $225,000, less an administrative fee of $200). The accelerated death benefit is subject to review by Trustmark and is subtracted from the final death benefit.
Serves as a hedge against inflation by automatically increasing your benefit each year for the first 10 years by the amount purchased with an extra $1/week in premium, with no evidence of insurability required. This can keep your benefit aligned with your increasing needs.
Waiver of Premium
If you suffer from a qualifying disability while insured, Universal Life Insurance premiums will be waived during the period of disability.
*May not be available in all states.
File a Universal Life Claim
To file a Trustmark Universal Life insurance claim, visit TrustmarkVB.com. To update policy information, or for questions about your policy, call 800-918-8877.
Universal Life Insurance is underwritten by Trustmark Insurance Company. Benefits may vary by state or be named differently. For complete details of coverage including exclusions and limitations, refer to Plan GUL-205 and HH.LTC/BRR/EOB/WP Riders of your policy. The Universal Life policy is issued by Trustmark upon approval of enrollment.