Long Term Care Certification Practice Test

What is required for an insured diagnosed with a terminal illness to receive an advancement on their long-term care policy?

1. Accelerated benefit rider

2. Short-term disability rider

3. Long-term disability rider

4. Premium waiver rider

The correct answer is: Accelerated benefit rider

An advancement on a long-term care policy for an insured diagnosed with a terminal illness is typically facilitated through an accelerated benefit rider. This rider allows policyholders to access a portion of their death benefit while they are still alive, specifically to cover medical expenses or long-term care needs associated with their terminal condition. The accelerated benefit rider is designed to provide financial support at a critical time when the policyholder may need it most, thereby alleviating some of the financial burdens associated with terminal illness care. It is essential for individuals to review their policies to confirm that such a rider is included, as not all long-term care policies automatically come with this feature. Other riders, such as short-term disability or long-term disability riders, generally cover income replacement during temporary or prolonged disabilities unrelated to terminal illnesses. Those riders do not provide access to death benefits or address long-term care needs directly. Similarly, a premium waiver rider typically suspends premium payments when the insured becomes disabled but does not provide funds for long-term care costs. Thus, the accelerated benefit rider is specifically tailored to meet the needs of individuals facing terminal illnesses, making it the correct choice in this context.