Long-Term Care

*Sample annual cost of $1,873 paid for 15 years for a 60 year-old female, non-smoker, with a $175,000, 20 year Easy Term Life policy.

Easy Term Life Insurance (Policy Form No. 16-3320) is underwritten and issued by American-Amicable Life Insurance Company of Texas / Occidental Life Insurance Company of North Carolina / Pioneer American Insurance Company and is distributed by Everdays, Inc. Issuance of coverage for Easy Term Life Insurance is subject to underwriting review and approval. Please see a copy of the policy for the full terms, conditions and exclusions. Product provisions, availability, definitions and benefits may vary by state. Payment of benefits under the life insurance policy is the obligation of, and is guaranteed by, the issuing company. Guarantees are based on the claims-paying ability of the issuer. Products are backed by the full financial strength of the issuing company.

1. U.S. Administration for Community Living: https://acl.gov/ltc/basic-needs/how-much-care-will-you-need
2. U.S. Administration for Community Living: https://acl.gov/ltc/basic-needs/who-will-provide-your-care
3. Rounded 2020 price as reported by Genworth Cost of Care Survey, conducted by CareScout®, November 2021 https://www.genworth.com/aging-and-you/finances/cost-of-care.html
4. 2021 Beyond Dollars Study: How Caregiving Impacts Family, Community and Society
5. Rounded 2020 price as reported by Genworth Cost of Care Survey, conducted by CareScout®, November 2021 https://www.genworth.com/aging-and-you/finances/cost-of-care.html
6. Chronic Illness Accelerated Death Benefit Rider — Policy Form No. 3579. With this benefit a portion of the death benefit can be accelerated early if an authorized physician certifies that the Proposed Insured is Chronically Ill. Chronically Ill defined as: 1) Becoming permanently unable to perform, without substantial assistance from another person, at least 2 Activities of Daily Living (eating, toileting, transferring, bathing, dressing, and continence) for a period of at least 90 consecutive days due to loss of functional capacity; or2) Requiring Substantial Supervision for a period of at least 90 consecutive days by another person to protect oneself from threats to health and safety due to Severe Cognitive Impairment. The Chronic Illness must have occurred after the effective date of the rider. Under the terms of this rider, the Policy Owner can request to receive portions of the death benefit (minimum of $1,000) up to 25% and as often as one time per calendar year. An administrative fee of $100 will be assessed at the time of each acceleration. These requests can be made up to a maximum equaling 95% of the policy death benefit or a maximum amount of $150,000. The cash value (if any), the amount available for loans (if any), and the premium for the policy will decrease in proportion to the amount of the benefit paid. This rider is automatically added to policies (where available) and requires no additional premium. The payment of the accelerated benefit will reduce the life insurance proceeds by the amount of the benefit paid. Remember the disclosure statement Form No. 3579-D must be presented to the applicant at point-of-sale. Rider not available in all states.
7. Confined Care Accelerated Benefit Rider - Policy Form No. 9674 (AA, OL, PA, PS); AB301 (IAA). With this benefit, if you are confined to a nursing home at least 30 days after the policy is issued you can receive a monthly benefit of 2.5% of the face amount per month up to $5,000. The cash value (if any), the amount available for loans (if any), and the premium for the policy will decrease in proportion to the amount of the benefit paid. This rider (where available) is added to policies issued at no additional premium. The payment of the accelerated benefit will reduce the life insurance proceeds by the amount of the benefit paid. Remember the disclosure statement Form No. 9675 (AA, OL, PA, PS); AB502 (IAA) must be presented to the applicant at point-of-sale. (Rider not available in CT, DC,IN, MA, NJ, VA, & WA)
8. Terminal Illness Accelerated Death Benefit Rider - Policy Form No. 9473 (AA, OL, PA, PS); TIA302 (IAA); In CA Form No. 3575. With this benefit you can receive up to 100% of the death benefit of the policy if diagnosed as Terminally Ill where life expectancy is 24 months or less (12 months in some states). This rider is added to every policy (where available) at no additional premium. An Actuarial Adjustment Factor and an Administrative Charge of $150 will be assessed at the time of acceleration. Remember to leave disclosure statement Form No. 9474 (AA, OL, PA, PS), TI501 (IAA), or 3575-D in CA, with the applicant at point-of-sale. For California, please refer to Form No. 3672-CA for rider details.
9. Sample Term Life annual cost based on 60 year-old female, non-smoker, with a $175,000, 20 year Easy Term Life policy.
10. Sample traditional long-term care cost based on 60-year old female, select health, with a $165,000 benefit that includes an assumed growth of 2% annually. https://www.aaltci.org/long-term-care-insurance/learning-center/ltcfacts-2021.php#2021costs

The acceleration-of-life-insurance benefits offered under these riders may or may not qualify for favorable tax treatment under the Internal Revenue Code of 1986. Whether such benefits qualify depends on factors such as your life expectancy at the time benefits are accelerated or whether you use the benefits to pay for necessary long term care expenses, such as nursing home care. If the acceleration-of-life-insurance benefits qualify for favorable tax treatment, the benefits will be excludable from your income and not subject to federal taxation. However, acceleration-of-life-insurance benefits payments may be taxable by your state. Tax laws relating to acceleration-of-life-insurance benefits are complex. You are advised to consult with a qualified tax advisor about circumstances under which you could receive acceleration-of-life- insurance benefits excludable from income under federal law. Receipt of acceleration-of-life-insurance benefits may affect your, your spouse's or your family’s eligibility for public assistance programs such as medical assistance (Medicaid), Aid to Families with Dependent Children (AFDC), supplementary social security income (SSI), drug assistance or other public assistance programs. You are advised to consult with a qualified tax advisor and with social service agencies concerning how receipt of such a payment will affect your spouse’s or your family’s eligibility for public assistance.