Indiana State Life and Health Insurance Practice Exam

Long-Term Care insurance is specifically designed to cover costs associated with long-term care services, including nursing homes, assisted living facilities, and home health care. One of its primary benefits is to provide financial support for skilled nursing care as well as home health care services, helping to ensure that individuals receive the care they need without exhausting their savings. Additionally, it serves to protect against asset depletion caused by the high costs of long-term care, thereby preserving financial resources for policyholders and their families.

However, guaranteed income for retirement is not a characteristic of Long-Term Care insurance. Instead, guaranteed income for retirement typically comes from sources such as pensions, Social Security benefits, or annuities, which are designed to provide financial stability during retirement years. Long-Term Care insurance focuses on covering specific care-related expenses rather than providing a guaranteed income stream for everyday living or retirement needs.