Guaranteed Renewable Policy
A guaranteed renewable policy cannot be canceled by an insurance company without justifiable cause. All Long-Term Care Insurance policies that meet federal guidelines are guaranteed renewable.
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In some insurance industries, insurance companies can end your policy if you're too high risk or file too many claims. Long-Term Care Insurance works a little differently.
Once you have a policy, your insurer can't cancel it. It doesn't matter how many claims you make or how often you need care. It also doesn't matter if your health has changed since you started the policy.
Your Long-Term Care Insurance policy will remain intact as long as you continue paying your premiums or until you use all your benefits. In other words, your policy is guaranteed renewable.
It's also important to note that you aren't required to pay your premium if you're actively receiving long-term care and using your LTC Insurance benefits. You must continue paying premiums while you're not receiving benefits.
Guaranteed renewability doesn't guarantee the same premium price each year. However, insurance companies are likely to offer the same premiums each year. You can read our FAQ article on premium increases to learn more.