Most long-term care policies were designed with a simple assumption: care happens in the U.S. That assumption is worth examining, especially as more clients consider retiring abroad, where high-quality care in countries like Costa Rica and Thailand can cost a fraction of U.S. prices.
What to know
- Coverage varies widely: Most policies restrict or reduce benefits outside the U.S., and some require care to be supervised by a U.S.-licensed physician.
- Fraud exposure limits options: Carriers are cautious about international benefits because verifying claims abroad is harder.
- Securian SecureCare IV leads the market: Recently launched, it pays 100% of benefits anywhere in the world with no U.S. physician oversight required. Benefits deposit to a U.S. bank account and claims must be submitted in English, but otherwise there are no geographic restrictions.
- Two others worth knowing: Brighthouse SmartCare and Nationwide CareMatters Annuity also offer full international benefits with a few more limitations.
Planning implications
Clients applying in their 50s are making decisions that may not play out for 30 years. In my view, preserving flexibility is underappreciated at application. A client with no plans to retire abroad today may feel differently at 75. If a policy's international benefits are limited, that's worth surfacing before they apply, not at claim time.
When to raise this with clients
- Clients who travel often or have discussed living abroad in retirement
- Clients prioritizing flexibility in their coverage structure
- Cost-conscious clients who want to preserve benefit dollars
Bottom line
International benefit quality varies significantly across products, and it's worth matching policy design to how a client's life might look decades from now.
Client resources: I publish short videos and articles explaining long-term care concepts for your clients.
Work together: I'm a long-term care specialist. In addition to articles like these, I help financial professionals evaluate coverage options for clients. Reply or schedule time to refer a client or discuss a case.
Best,
Jesse Vickey
Long Term What?
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