Key Metrics at a Glance
| Issue Ages | 40-75 | Best rates under 65 |
|---|---|---|
| Benefit Duration | 4 or 6 years | Acceleration + Extension |
| Elimination Period | 90 days | Benefits paid retroactively |
| Benefit Type | Cash Indemnity | No receipts required |
| Min Face Amount | $50,000 | Single or flexible pay |
| Max Face Amount | $1,000,000 | For indexed option |
| LTC Growth Options | Level, 5%, Indexed | Unique indexed option |
| International | 100% Coverage | Best in market |
Three Outcomes. One Asset. You Stay in Control.
With asset-based LTC products like SmartCare, your money works for you no matter what happens. The insurance company doesn't keep it.
| Scenario | What Happens | Benefit | Who Gets It |
|---|---|---|---|
| Door 1: LIVE | You need LTC care | Tax-free cash benefits with growth potential (4-6 years) | You get the money |
| Door 2: DIE | You don't need LTC | Income tax-free death benefit to your heirs | Family gets the money |
| Door 3: LEAVE | You change your mind | Cash surrender value (no surrender charges) | You get the money |
Note: SmartCare uses cash value instead of guaranteed ROP. Your surrender value may be more or less than premiums paid, depending on indexed performance.
Indexed LTC Growth: SmartCare's Defining Feature
SmartCare is the only hybrid LTC product that lets your benefits grow with market indices. This isn't about investing—it's about inflation protection that can actually keep pace with real healthcare cost increases.
How Indexed LTC Works
Upside Potential
Benefits can grow with market indices up to an annual cap
0% Floor
Benefits never decrease—even when markets drop
Lock-In Option
Lock in gains permanently at any time
Available Index Options
S&P 500 Index
Tracks 500 large U.S. companies. The most common index choice for broad market exposure.
Russell 2000 Index
Tracks 2,000 small-cap U.S. companies. Higher volatility but potentially higher growth.
MSCI EAFE Index
Tracks developed international markets (Europe, Australasia, Far East). Geographic diversification.
All LTC Growth Options
Indexed LTC
LTC benefits linked to major market indices (S&P 500, Russell 2000, MSCI EAFE). Benefits can increase with market gains up to an annual cap but will never fall below original amounts.
Best for: Those who believe LTC costs will outpace fixed inflation assumptions and want upside without downside risk
Fixed Growth LTC
LTC benefits increase at a guaranteed 5% compound rate annually. Predictable growth with face amount limits by age.
Face limits: $100K (40-49), $200K (50-59), $300K (60-69), $500K (70-75)
Best for: Those wanting predictable, strong growth with certainty
Level LTC
LTC benefit amount is fixed at issue and does not change. Lowest cost option.
Best for: Older buyers (70+) or those prioritizing immediate coverage over growth
How SmartCare Works
Key features that set SmartCare apart from other hybrid LTC products.
Two-Layer Benefit Structure
LTC Acceleration of Death Benefit Rider
Duration: 2 years
Benefits paid from this rider reduce the death benefit dollar-for-dollar. Up to 98% of the policy's face amount may be accessed for LTC expenses.
Uses your life insurance death benefit to pay for care
Extension of Benefits Rider (EOBR)
Duration: 2 or 4 years
Begins after acceleration benefits are exhausted. Payments do NOT reduce the death benefit or other policy values—this is additional coverage.
Extends your coverage beyond the death benefit
4 or 6 years total benefit period
Indexed LTC Growth
The only hybrid LTC product where your benefits can grow with market indices. Link to S&P 500, Russell 2000, or MSCI EAFE. Benefits increase with market gains but never decrease—even in down years, your benefits stay at their high-water mark.
Cash Indemnity Benefits
Receive your benefit as cash—no receipts required, no expenses to track. Use the money however you want: professional care, family caregivers, home modifications, or save it for later. 100% of monthly max paid regardless of actual costs.
100% International Coverage
Receive 100% of your monthly maximum benefit for care received outside the U.S.—for the entire benefit period (4-6 years). This is the best international coverage in the hybrid LTC market. Requires U.S.-licensed physician oversight.
Non-Cancellable Rider Charges
Brighthouse cannot increase the rider charge rates for the LTC ADBR or Extension of Benefits Rider—ever. This is a contractual guarantee that protects you from future cost increases.
Retroactive Benefits
After meeting the 90-day eligibility period, benefits are paid retroactively from day one. You don't lose 3 months of coverage—you get paid back for the entire period once you qualify.
Waiver While on Claim
While receiving LTC benefits, all annual deductions and required premiums are waived. Your policy continues without any cost to you during the time you need care most.
Leverage: Your Money Multiplied
SmartCare delivers strong leverage that grows over time. With indexed LTC, your leverage ratio can increase dramatically as benefits grow with market performance while remaining protected from decreases.
55 Male • Premium: $100,000
Day 1: $592,384 ($7,632/mo)
Inflation: 3% Compound
Death Benefit: $186,900
55 Female • Premium: $100,000
Day 1: $513,224 ($6,612/mo)
Inflation: 3% Compound
Death Benefit: $161,925
55 (Indexed) • Premium: $100,000
Day 1: $592,384 ($7,632/mo)
Inflation: Market-Linked
Death Benefit: $186,900
Benefits grow with market, never decrease
Based on $100,000 single premium, 6-year benefit period. Indexed results will vary based on market performance. Request your personalized illustration for exact figures. • January 2025
Real World Scenarios
Is SmartCare right for YOUR situation? Here's who this works for—and when to consider alternatives.
Perfect Fit: The Inflation Hedge Seeker
Perfect FitDavid (Age 52): David has seen his parents' care costs skyrocket and doesn't trust that 3% or even 5% fixed inflation will keep pace with actual healthcare inflation over the next 30 years. He wants real protection against unknown future costs.
How SmartCare Helps:
SmartCare with Indexed LTC option. His benefits are linked to the S&P 500 index, so if markets perform well over the next 25 years, his LTC benefits grow accordingly. If markets decline, his benefits never decrease—they stay at their high-water mark. Key Benefits: • Indexed growth tied to S&P 500 performance • 0% floor protects against market losses • Can lock in gains permanently at any time • Potential to significantly outpace fixed inflation
Outcome:
At age 77, David's benefits have grown 8-10% in several years, significantly outpacing fixed inflation assumptions. His monthly benefit has potentially doubled or tripled compared to a fixed growth option. If markets had underperformed, he'd still have his original benefit amount guaranteed.
Perfect Fit: The International Retiree
Perfect FitPatricia (Age 61): Patricia is planning to retire abroad for 6-8 months per year and is concerned about LTC coverage that won't work internationally. Most policies limit or exclude international benefits.
How SmartCare Helps:
SmartCare offers 100% of monthly maximum benefit for care received outside the U.S.—for the entire 6-year benefit period. This is the best international coverage in the hybrid market. Why SmartCare Excels: • 100% international coverage (vs 50% for competitors) • Covers entire benefit period abroad • All care types covered internationally • Just needs U.S.-licensed physician oversight
Outcome:
Patricia can receive full benefits whether she needs care in Tampa or Lisbon. Her $14,000/month benefit (at age 80) works anywhere in the world, giving her true global flexibility for retirement.
Perfect Fit: The Growth-Focused Couple
Perfect FitMichael and Jennifer (Age 58): The couple has $200,000 in CDs earning minimal interest. They want LTC protection but hate the idea of locking in a fixed growth rate when they believe healthcare costs will far outpace general inflation.
How SmartCare Helps:
SmartCare with Indexed LTC for both. Their LTC benefits can grow with market indices while the floor guarantees they never lose ground. Combined Strategy: • Each policy linked to different indices for diversification • Combined LTC pool starts at over $1.1 million • 0% floor on both policies • Cash indemnity for maximum flexibility
Outcome:
Their combined LTC pool starts at over $1.1 million and has potential to grow significantly. Even in poor market years, their benefits stay level. In strong years, they lock in gains permanently. At age 83, their pool could be 50-100% larger than a fixed growth alternative.
Compare Options: The Guaranteed ROP Seeker
Compare OptionsRobert (Age 64): Robert wants the certainty of knowing he can get 100% of his premium back if he changes his mind. He's seen the vesting ROP options on SecureCare and MoneyGuard and wants that same guarantee.
Analysis:
SmartCare does NOT offer a contractual Return of Premium rider. Instead, liquidity comes from cash surrender value, which may be more or less than premiums paid depending on policy performance. Comparison: • SmartCare: Cash value (variable, no guarantee) • MoneyGuard: 100% ROP after 11 years • SecureCare III: 100% ROP after 6 years If guaranteed ROP is essential, Robert should consider Lincoln MoneyGuard (100% vesting) or Securian SecureCare III (100% after 6 years).
Our Recommendation:
Robert should compare SmartCare's cash value projections against competitors' ROP guarantees. If he's comfortable with cash value uncertainty for the indexed growth potential, SmartCare could work. If guaranteed ROP is non-negotiable, he should look elsewhere.
Where It Shines
Indexed LTC Growth (Unique in Market)
The only hybrid LTC product that lets benefits grow with market indices. Benefits can increase with the S&P 500, Russell 2000, or MSCI EAFE while being protected from market losses. This provides a true inflation hedge that fixed percentages cannot match.
Best-in-Class International Coverage
100% of monthly maximum benefit available for care received outside the U.S.—for the entire benefit period. Most competitors cap international benefits at 50% or limit them to the acceleration phase only. SmartCare covers you globally.
Cash Indemnity with No Receipts
Benefits paid as cash with no documentation required. Use funds for professional care, family caregivers, home modifications—whatever you need. Same flexibility as SecureCare III and CareMatters II.
Non-Cancellable Rider Charges
Brighthouse contractually guarantees they cannot increase the LTC rider charges for the life of the policy. This protects you from the rate increases that plague traditional LTC insurance.
Retroactive Benefits After Elimination
Unlike competitors where you simply wait 90 days without benefits, SmartCare pays retroactively once you qualify. You receive payment for the entire eligibility period, effectively reducing your out-of-pocket burden.
!What Gives Us Pause
No Guaranteed Return of Premium
SmartCare does not offer a contractual ROP rider. Liquidity comes from cash surrender value, which may be more or less than premiums paid. If guaranteed ROP is essential, consider Lincoln MoneyGuard (100% vesting) or SecureCare III (100% after 6 years).
90-Day Elimination Period
Benefits don't begin until 90 days after certification as chronically ill (though they're paid retroactively). Compare to Lincoln MoneyGuard's 0-day elimination for immediate benefits without waiting.
No Partial Withdrawals
Unlike some competitors, SmartCare does not allow partial withdrawals from cash value. Your options are full surrender or policy loans. This limits flexibility for those wanting occasional access to funds.
Indexed Complexity
The indexed growth mechanism is more complex than simple fixed inflation. Clients must understand caps, participation rates, and crediting methods. Those uncomfortable with indexed product mechanics may prefer simpler alternatives.
Face Amount Limits for Fixed Growth
If choosing the Fixed Growth LTC option (5% compound), face amounts are limited by age: $100K (40-49), $200K (50-59), $300K (60-69), $500K (70-75). This may be restrictive for some buyers.
Underwriting Reality
SmartCare uses simplified underwriting for most applicants. Here's what to expect based on common health profiles.
Likely to Qualify
- •Ages 40-75 with good overall health
- •No major cognitive impairment or dementia diagnosis
- •No current use of walkers, wheelchairs, oxygen
- •Well-controlled chronic conditions (diabetes, hypertension)
- •No history of multiple falls in past 2-3 years
- •Can perform all activities of daily living independently
- •BMI within acceptable range for age
!May Face Challenges
- •BMI outside typical guidelines (varies by age/height)
- •Recent hospitalization or major surgery
- •Multiple chronic conditions requiring daily medication
- •History of single fall without major injury
- •Family history of early-onset cognitive impairment
- •Tobacco use (smoker rates apply)
- •Certain cardiac or respiratory conditions
Likely Declined
- •Alzheimer's, dementia, memory loss, or cognitive impairment
- •Parkinson's disease, ALS, or Multiple Sclerosis
- •Stroke or TIA within past 2-3 years
- •Current use of walker, wheelchair, oxygen, or hospital bed
- •Unable to perform 2+ activities of daily living
- •Currently receiving or recently received LTC services
- •History of multiple falls due to balance/gait issues
- •Active cancer treatment (varies by type and stage)
Underwriting Notes
- • Ages 40-65: Simplified underwriting (electronic app, database checks)
- • Ages 66-75: Medical records and cognitive assessment required
- • No labs or exams in most cases
- • Initial decision generally within 24 hours of completed requirements
- • Couples discount available
- • Nonsmoker/Smoker risk classes
Frequently Asked Questions
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