Securian SecureCare Review  

Minnosota Life Ratings:

Long Term Care Insurance Quote

By: Cliff Marshall

A+ (Superior)  A.M Best

Aa3 (Excellent) Moody’s

AA (Very Strong) Fitch

Securian Financial  is now offering one of the most competitive Hybrid Asset Based Long Term Care policies on the market.

In this article, we will explore Securian SecureCare, an Asset-Based Long-Term Care Policy, in a way that’s easy to understand.

Securian Financial now offers one of the most competitive Hybrid Asset-Based Long-Term Care policies on the market. In this article, we will explore Securian SecureCare, an Asset-Based Long-Term Care Policy, in a way that’s easy to understand.

What is Securian SecureCare

Securian SecureCare is a unique type of Long-Term Care policy that provides various benefits, which we will discuss in more detail. Here’s a quick overview of the advantages it offers:

  1. Guaranteed Cash Indemnity LTC Benefit

When you need long-term care, Securian SecureCare provides tax-free benefits that you can use as you see fit. This flexibility allows you to tailor the support to your specific needs and preferences.

  1. Guaranteed Death Benefit

In the unfortunate event of your passing, if you haven’t used all your benefits, your beneficiaries will receive an income tax-free death benefit.

  1. Cash Back Liquidity

If you no longer require or want this coverage, you can surrender the policy at any time and, in some cases, receive a refund of your premiums, especially if you’ve passed the premium payment period.

  1. Guaranteed Premiums

Securian SecureCare comes with premiums and benefits that are guaranteed not to change, unlike traditional Long-Term Care policies. You can fund these premiums through various options, including ongoing payments, a single payment plan, or by using existing life insurance cash values or non-qualified funds in your bank or brokerage accounts.

  1. Tax Deductibility

Securian SecureCare may offer tax incentives. Qualified long-term care premiums can be considered a medical expense under IRS Section 7702B and 213, potentially providing you with tax benefits.

How Does Securian SecureCare Work?

Securian SecureCare combines the benefits of Long-Term Care protection with the security of life insurance. Let’s illustrate this with an example:

Age 55 Male, $100,000 Single Premium, 3% Compound Inflation Protection, 6 Year Benefit period

These payments can also be split into monthly, annual for years.

 Securian SecureCare

Securian SecureCare

As we can see. Under the Total LTC Benefits Available column immediately on day one you have access to $518,252 in benefits available. At age 85 $1,257,934 is available. There is also $160,241 death benefit built in.

Female Age 55, $100,000 single premium, 3% Compound Inflation Protection, 6 Year benefit period 

Securian SecureCare

Securian SecureCare

As you can see. Under the Total LTC Benefits Available column immediately on day one you have access to $438,054 in benefits available. At age 85 $1,063,271 is available. There is also a $135,444 death benefit built in.

Securian SecureCare

Securian SecureCare

What Makes Securian SecureCare Unique? Cash Indemnity

Most Long-Term Care policies operate as reimbursement plans, requiring you to pay for care initially and then seek reimbursement. Securian SecureCare takes a different approach with a cash indemnity plan. If you qualify and meet the elimination period, you’ll start receiving a monthly benefit that you can use as needed, whether for Assisted Living, Hospice, Nursing Home Care, or Adult Daycare. This flexibility empowers you to manage your finances according to your unique circumstances.

There are no restrictions, with no fine print. The benefit is to use or save however you choose. Your Long Term care benefit can support you in a variety of care situations

  • Assisted living
  • Adult Day Care
  • International Benefits
  • Informal care
  • Nursing home
  • Respite car
  • Home health care
  • Household services

Once you become eligible for benefits, you can choose to receive a maximum amount up front, if you choose to receive less than the monthly maximum, the difference stays in your policy, extending your benefit period.

How Do Securian SecureCare Tax Benefits Work?

Securian SecureCare aligns with the Health Insurance Portability and Accountability Act (HIPAA) guidelines for qualified Long-Term Care policies. Some of the benefits and payments offered by Securian SecureCare may receive favorable tax treatment similar to individual Long-Term Care policies.

Certain parts of the premium may be considered a medical expense under IRC Section 7702B and 213. You can find detailed information about these benefits in the policy proposal and data pages.

What About Securian SecureCare’s Death Benefit?

In the case of a $100,000 single premium policy, if the client passes away without using the benefits, the beneficiary will receive $167,023 tax-free. Even if the client exhausts the entire benefit during a six-year Long-Term Care event, the beneficiary will still receive $10,000 income tax-free.

Securian SecureCare Cash Back Liquidity

Securian SecureCare acts as a liquid asset, allowing you to surrender the policy at any time for its designated cash value.

Securian SecureCare Guaranteed Premiums

Unlike most conventional Long-Term Care policies, Securian SecureCare stands out with its guaranteed premiums and benefits. You have various funding options, including non-qualified funds, life insurance cash values via a 1035 exchange, and cash equivalents.

Policy Options for Securian SecureCare

Securian SecureCare offers flexibility in terms of benefit periods, payment options, and inflation protection. You can tailor the policy to your unique situation:

  • Benefit Period: Choose from 2 to 7 years, with options for acceleration and extensions.
  • Payment Options: Opt for a single lump sum payment or various guaranteed payment options.
  • Elimination Period: Depending on the type of care, the elimination period can be as short as 90 days for Long-Term Care or even 0 days for Home Modifications and Caregiver Training, which come in addition to the monthly benefit.
  • Guaranteed Residual Death Benefit Rider: This option allows you to receive a payout based on the policy’s face amount and premiums paid.
  • Inflation Protection: Select from 3% or 5% inflation protection options to safeguard against rising care costs.
  • Return of Premium: Securian SecureCare offers a return of premium features over time.

A Comparison: Securian SecureCare vs. One America Asset Care vs. Nationwide CareMatters

When considering Long-Term Care insurance options, it’s essential to weigh the pros and cons of various policies. Let’s compare Securian SecureCare with two other popular options in the market: One America Asset Care and Nationwide CareMatters.

Securian SecureCare

  • Unique Features: Securian SecureCare stands out for its cash indemnity plan. It offers you 100% control of your benefits, which can be used for various long-term care needs, such as Assisted Living, Hospice, Nursing Home Care, and Adult Daycare.
  • Tax Benefits: Securian SecureCare offers potential tax incentives with qualified long-term care premiums treated as a medical expense under IRS Section 7702B and 213.
  • Guaranteed Premiums: It provides peace of mind with guaranteed premiums and benefits, protecting you from future cost increases.
  • Flexibility: You can fund your premiums through various means, including existing life insurance cash values and non-qualified funds.
  • Financial Stability: Securian Financial, the provider, has a strong financial rating.

One America Asset Care

  • Hybrid Product: Like Securian SecureCare, One America Asset Care combines Long-Term Care benefits with life insurance coverage.
  • Flexibility: It offers customizable benefit periods, inflation protection options, and premium payment choices, including the ability to use qualified funds. 
  • Joint Policies: One America Asset Care allows couples to purchase a single policy, potentially saving on premiums.
  • Residual Death Benefit: It provides a residual death benefit, ensuring that your beneficiaries receive a payout even if you’ve used some of the Long-Term Care benefits.

Nationwide CareMatters

  • Unique Hybrid Product: Nationwide CareMatters combines Long-Term Care benefits with a fixed premium, which means your premiums won’t increase over time.
  • Cash Indemnity: Similar to Securian SecureCare, Nationwide CareMatters offers a cash indemnity plan that provides you with monthly benefits you can use as you see fit.
  • Return of Premium Option: It allows policyholders to receive a return of premium if they change their minds about the policy.
  • Accelerated Death Benefit: Nationwide CareMatters offers an accelerated death benefit feature that can be used if you have a terminal illness, giving you access to a portion of your death benefit while alive.

The Bottom Line

Each of these policies has its own set of unique features and advantages. The choice between Securian SecureCare, One America Asset Care, and Nationwide CareMatters will depend on your specific financial situation, coverage needs, and personal preferences.

When considering Long-Term Care insurance, it’s advisable to consult with a qualified insurance professional who can assess your individual circumstances and help you make an informed decision. They can provide you with personalized proposals and guide you towards the policy that best aligns with your long-term care goals.

For further assistance or to explore these policies in more detail, please don’t hesitate to reach out to us. We’re here to help you make the right choice for your future.

Minnesota Life Securian Financial Rating

Securian Financial, the provider of Securian SecureCare, maintains strong ratings, demonstrating its financial stability and reliability:

  • A+ (Superior) from A.M. Best
  • AA (Very Strong) from Fitch
  • Aa3 (Excellent) From Moody’s
  • A+ (Strong) from Standard & Poor’s

If you have any questions or would like to explore personalized proposals, please feel free to contact us.