Intro
Introduced in 2022, EquiTrust Bridge is combines an annuity with long-term care policy. What sets it apart from nearly every other policy is approval is guaranteed for everyone who applies, regardless of health. You might not get the highest benefit level, but you will get some benefits.
Think of it like Cheers. You walk in, and Sam's not checking your medical history at the door. Everyone gets a seat. The question is just whether you get the good booth or a spot at the bar.
This policy might be right for you if you have:
- Health concerns: If you're mobile, independent, and living with a condition like Parkinson's, MS, ALS, Huntington's, a cardiac procedure (5+ years ago), an organ transplant, lupus, rheumatoid arthritis, muscular dystrophy, osteoporosis, aneurysm, TIA, cirrhosis, schizophrenia, or bipolar disorder, you may still qualify for the highest benefit tier.
- An existing annuity: You can use a 1035 exchange to move funds from an existing annuity into this policy without triggering taxes at the time of transfer.
Read on to dig into the details.
Post jargon
1035 exchange: a tax rule allowing tax-free transfer between annuities or life insurance policies
accumulation value: your money in the annuity; grows over time; passes to heirs
annuity: a contract where you deposit money, it grows, and can provide future income or care benefits
annuity hybrid: a policy combining an annuity with LTC benefits
benefit base: the total LTC pot, including your money plus EquiTrust's contribution
cash indemnity: policy pays full monthly benefit in cash; no receipts required
coverage ratio: the multiplier applied to your premium to set your LTC benefit base
credited: interest or growth officially added to your account
death benefit: remaining accumulation value paid to heirs at death
fixed annuity: annuity earning a set interest rate, typically reset annually
index-linked growth: account growth tied to a market index, with principal protected from losses
net amount at risk: EquiTrust's money; the LTC coverage beyond what you deposited
non-qualified annuity: annuity funded with after-tax money; gains taxed on withdrawal
underwriting class: health-based tier (Preferred, Standard, Secure) determining your benefit multiple
vesting schedule: timeline controlling what percentage of your full benefit is accessible
➡️ Explore all the LTC jargon
What is an annuity hybrid?
Most long-term care policies we review are life hybrids, combining life insurance with LTC benefits.
Bridge is different. It’s an annuity hybrid, meaning it pairs an annuity with LTC coverage instead of life insurance.
Common characteristics of annuity hybrids:
- Up-front funding: They can't be paid over your lifetime like some other LTC policies
- Easier underwriting – More health conditions can be approved, often with just a short set of questions and no medical records.
- Tax-efficient transfers – Existing annuities can be moved via a 1035 exchange without triggering taxes. If used for LTC or paid to beneficiaries, gains are generally tax-free.
- Higher refunds – Compared to life hybrids, they often return more unused value to heirs.
- Appealing at older ages – These structures can be especially attractive for older applicants, particularly women.
Standard benefits
EquiTrust Bridge comes with many standard benefits of a hybrid policy:
- Benefit triggers: Coverage starts when you need help with two ADLs or cognitive decline.
- Broad coverage: Includes informal care (e.g., family), home health care, adult day care, assisted living, nursing homes, memory care, CCRCs, care coordination, respite care, and hospice.
- Death benefit: If you never use your benefits, your family receives a payout upon your death.
- Money-back option: Cancel your policy anytime and get money back.
What's special about EquiTrust Bridge?
In a competitive market, policies often include standout features to set themselves apart. Let’s take a closer look at what makes EquiTrust Bridge special.
- Everyone qualifies: Even if you're already in a nursing home, you can qualify for some coverage. We'll explain how this works in a minute.
- Cash benefits: Pays cash (no receipts required), offering higher payouts and full flexibility on how you use the money.
- Flexible contributions: You can fund it over the first five years, rather than paying everything up front like many annuities require.
- Quick benefits: Instead of waiting 90 days for benefits to begin, as many policies require, Bridge pays benefits immediately when care starts.
- High refunds (death benefit): Compared to life hybrid policies, refunds to your heirs are typically higher if you use little or no care.
- Wellness program: Active participation earns Wellness Credits that increase your LTC benefit base.
How underwriting works
This is the Cheers moment. As we mentioned, Bridge doesn't turn anyone away, even if you're already in a nursing home.
For real. Answer just five questions. There’s no exam, or medical records review, or prescription check.
If you answer "Yes" to one or more of the first three questions, you're assigned to the lowest health class, Secure, and you skip the online evaluation.
Online video evaluation
Over 30 minutes, you'll be ask some memory questions and asked to perform some basic physical exercises, like a balance check.
That's it. Decisions are typically delivered via notification within a few minutes of finishing the session.
How EquiTrust Bridge works
Make an up-front payment of at least $50k, with the option to add more premium in the first five years.
Based on your health and age, your premium grows anywhere from 125% to 330% to pay for long-term care.
| Class | Coverage ratio | Examples |
|---|---|---|
| Preferred | 300-330% | Great health |
| Standard | 200-230% | Some cancers |
| Secure | 125-155% | Wheelchair |
For example, if you put $100k into the policy and qualify for the Preferred class, your LTC pool could be $300k to pay for care.
Using this example, you have two buckets of money:
- Your money ("accumulation value", $100k): Grows at a fixed rate set by the insurer (currently around 5%) or based on an index like the S&P 500.
- Total money ("LTC benefit base", $300k): Grows guaranteed at 3% annually for 20 years, or at 5% for an extra cost, and stops once on claim.
For example, over the five-year benefit period, more of the early payments come from your money, and more of the later payments come from their money.
Your LTC benefits are paid out tax-free. If you never need care, your heirs receive the remaining account value. Your original investment is tax-free, but gains may be taxable.
The details
If this policy piques your interest, we'll rate the key features in a way that even Sam Malone would understand.
We rate each policy’s benefits, premiums, underwriting, and company on a three-star scale, with three stars being the best.
Benefits
Benefits are what the policy pays for covered care expenses.
EquiTrust Bridge combines key hybrid policy benefits: cash indemnity, minimal exclusions, a death benefit, plus a strong benefit pool.
Premium
Premiums are the payments made to maintain insurance coverage.
Underwriting
Underwriting is how an insurance company evaluates your health and history to determine coverage and pricing.
EquiTrust Bridge is the easiest underwriting policy we offer.
Company
Choose a top-rated insurer for reliable LTC coverage, even decades from now. We only offer policies from financially strong companies to give you peace of mind.
EquiTrust's experience and ratings are below average compared to the policies we offer, but still considered strong. Learn more about their financial strength.
Comparisons
How does this policy stack up against others? Focus on what matters most to you to find the best fit.
In this table, you can compare the benefits of all the LTCi policies we offer. You can:
- Search for any detail.
- Tap any column title to sort.
- Scroll right to view more columns. ➡️
Next steps
If this policy seems like a good fit, click the button below and include 'EquiTrust Bridge' in the notes section at the final step.
Wrap up
In the long-term care insurance universe, Bridge is the Cheers of annuity hybrids. It doesn't matter much who you are or what health history you're carrying. Walk in and you'll get a policy. Whether you get the premium booth or a spot at the bar depends on your health, but everybody leaves with something.
This policy can be a strong option if you can fund it with a lump sum and you’re in your 70s or not in perfect health. The real value is turning your money into 125% to 330% for long-term care, with that benefit growing at a guaranteed 3% each year. You give up some upside on your money if it were invested elsewhere, but in return you create a much larger pool of dollars specifically for care.
How it compares to Nationwide CareMatters Annuity (at a glance):
| Feature | CareMatters Annuity | Bridge |
|---|---|---|
| Leverage if 75+ | 2x max | ~3x |
| Growth (your money) | 3% guaranteed | Not guaranteed, more upside |
| Underwriting | Stricter | Easier |
| Access | Full benefits at claim | "Their money" vests 20%/yr |
| AM Best rating | A+ | B++ |
If it sounds like a good fit, we're here to help you explore the details.
