The state of Massachusetts, for example, recently enacted a law that gives approval to hybrid insurance products that include coverage for long term care. Insurers can combine traditional products like annuities and life insurance with other mechanisms designed to cover some or all of the cost of long term care.
Most states now permit the sale of long term care hybrid products.
Fortunately, most states now permit the sale of long term care hybrid products. Some variable annuities now offer long term care riders. Jeff Sadler, president of SDS Inc., an insurance marketing, training, and sales firm in Ormond Beach, Fla., indicates that a few insurers are even adding long term care riders to disability income policies. You're probably familiar with the typical life insurance policy that offers a death benefit and a buildup in cash value. The rider makes it possible to accelerate payment of the death benefit in this situation.