Lapse Protection

When an individual misses a Long-Term Care Insurance premium, lapse protection may help them from losing their policy.  

In some cases, insurance companies will notify a designated third party about a late or missing premium. The idea is that this person will help ensure the insured individual is aware of their missing premium. The designated third party is not responsible for paying the premium. 

This protection also allows policyholders to reinstate their lapsed policy. The company will reinstate the policy if the individual can pay past-due premiums within a specific time frame after the policy lapses.  

Additional protections may apply if the policyholder can prove cognitive or functional impairment prevented them from paying premiums.