Securian SecureCare III Hybrid Life + Long-Term Care: Honest Review (2026)
Written & reviewed by Hans Goldstein, EA, Independent Licensed Insurance Producer · CA license 4273294 · NPN 20602398Admitted to practice before the IRS
Independently reviewed & last updated 2026-06-08
Last updated: June 8, 2026
If you've been quoted Securian SecureCare III, you're looking at the budget-friendly entry point into hybrid life + LTC insurance. Securian (Minnesota Life) is one of the more conservative carriers in the space, and SecureCare III's pricing makes it accessible to buyers who'd find Nationwide CareMatters II or Lincoln MoneyGuard III out of reach.
This honest review covers what SecureCare III does well, its reimbursement-only structure (vs. Nationwide's cash indemnity), and where it fits in the hybrid LTC market.
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The single biggest reason to own this: tax-free LTC at lower premium
Like all hybrid LTC products, SecureCare III provides tax-free LTC benefits under IRC §7702B + PPA 2006 §844. Where Securian wins on price-point: premium is typically 10-20% lower than Nationwide CareMatters II for the same benefit duration and inflation rider. That's the trade-off for reimbursement-only (no cash indemnity) and Securian's lower brand recognition.
Reimbursement vs. cash indemnity (the structural difference)
| Feature | Securian SecureCare III (Reimbursement) | Nationwide CareMatters II (Cash Indemnity) |
|---|---|---|
| How benefits paid | Submit care receipts, get reimbursed | Monthly cash check, no receipts |
| Family caregiver coverage | Usually no | Yes |
| Premium | Typically lower | Higher |
| Documentation burden | Higher (ongoing receipts) | Lower (initial only) |
| Flexibility | Restricted to covered care services | Full flexibility |
For buyers who: plan to use licensed/agency care (home health, assisted living, skilled nursing), reimbursement works fine. For buyers who: want to use informal/family care, cash indemnity wins.
Goldstein Scorecard
| Dimension | Grade | One-line take |
|---|---|---|
| LTC benefit duration | B | 2-7 year benefit periods; typically 4-6 years. Capped, unlike OneAmerica Asset Care. |
| Carrier financial strength | A+ | Securian (Minnesota Life): conservative mutual carrier. |
| Brand recognition | B+ | Less household-name than Lincoln/Nationwide but solid in advisor channels. |
| Benefit type | B | Reimbursement only (no cash indemnity option). |
| Joint life option | B+ | Joint life available but less elegantly priced than Nationwide CareMatters II. |
| Inflation protection | A | 3% or 5% compound inflation available. |
| Premium funding | A | Single, 5-pay, 10-pay, lifetime pay. |
| Premium price-point | A | Best-in-class pricing for hybrid LTC: a meaningful budget advantage. |
| Elimination period | B+ | 90-day calendar elimination period. |
| Goldstein Complexity Index | B (52/100) | Moderate. Reimbursement mechanics are simpler than cash indemnity but require ongoing documentation. |
| OVERALL | A- | The budget hybrid LTC: strong value for buyers OK with the reimbursement model. |
Best for: the 55-75 buyer with $35K-100K to commit, wanting A+ carrier + tax-free LTC at the lowest premium, who's comfortable with reimbursement model (plans to use licensed care).
Look elsewhere if: you want cash flexibility for family caregivers → Nationwide CareMatters II, you want lifetime LTC → OneAmerica Asset Care, or you want 0-day elimination → Lincoln MoneyGuard III.
The §1035 exchange play
Same universal play applies. §1035 tax-free exchange from underperforming life insurance or non-qualified annuities → SecureCare III for typical 2-3× LTC benefit pool leverage, tax-free.
Strengths
- A+ Securian: conservative mutual carrier
- Tax-free LTC under §7702B / PPA 2006
- Lower premium than Nationwide CareMatters II or Lincoln MoneyGuard III
- Multiple funding options
- 3% or 5% compound inflation
- Joint life available
- §1035 exchange compatible
Weaknesses
- Reimbursement only: no cash indemnity option
- LTC benefit is CAPPED at 7 years max: unlike OneAmerica Asset Care
- 90-day elimination: vs. Lincoln MoneyGuard's 0-day
- Brand recognition lower than Lincoln/Nationwide: may matter for brand-comfort buyers
- Documentation burden for reimbursement claims is real and ongoing
- Joint life pricing less elegant than Nationwide CareMatters II
Goldstein Complexity Index
Every annuity I review gets a complexity score from 0 to 100. Higher means harder to understand. Complexity is where buyers get hurt: riders they didn't know they were paying for, surrender charges that surprise them, and income "benefit bases" they took for cash. SPIAs and MYGAs score low. Products that stack a bonus, an income rider, an MVA and several crediting options score high.
This product's score: 22/100, Grade A (Mostly clear)
One or two complications (a rider, a crediting choice). With a 30-min agent walkthrough, most buyers understand it.
Score breakdown
| Dimension | Score (1-10) | What this measures |
|---|---|---|
| Riders | 4/10 | How many riders, optional or built in (income, death benefit, LTC). Each one adds cost and one more thing to understand. |
| Crediting strategies | 2/10 | How many index options (cap, spread, participation rate, step rate, volatility-controlled indices). More choices are harder to follow. |
| Surrender complexity | 6/10 | Length of the surrender period, plus any MVA and bonus recapture. The longer and more layered it is, the harder it is to know what leaving early costs. |
| Benefit-base separation | 2/10 | Whether there is a separate income base ("PIV") that is not cash but looks like it. This causes more buyer confusion than anything else. |
| Bonus structure | 1/10 | A premium bonus with a recapture schedule. The bonus is real, but you can lose part of it if you leave early. |
How to read this
- A+/A (0-40): Easy to understand. A pure accumulation FIA, a MYGA or a SPIA. Little room for mis-selling.
- B (41-60): Read the contract carefully and get a second opinion before signing. Income riders cause most of the confusion.
- C (61-80): Many owners don't fully understand what they bought. Common mis-sells: a bonus presented as cash, a benefit base presented as account value, surrender charges glossed over.
- D (81-100): Get an independent second opinion before signing. The product may still fit you, but the odds you later say "I didn't know it worked that way" are high.
Why it matters: nobody gets sued for selling a complicated product, but buyers regret them all the time. An annuity that wins your money in year one and confuses you for the next 14 is worse than a simpler one you understood from the start. Simple products are easier to check.
Real complaints + truth
Complaint 1: "Reimbursement claim documentation was burdensome"
Truth: Reimbursement-model LTC requires ongoing receipts and submissions for each care service. Family caregivers without licensed credentials can't typically be paid. Verdict: structural feature of reimbursement model, not Securian-specific.
Complaint 2: "Premium increases on flexible-pay options"
Truth: Flexible-pay (lifetime pay) variants can have premium increases over time. Single-pay and 10-pay variants lock in premium. Verdict: avoidable with proper funding option selection.
Complaint 3: "I wanted to use my daughter as caregiver but couldn't"
Truth: Reimbursement model doesn't pay informal family caregivers. If family caregiving was planned, Nationwide CareMatters II (cash indemnity) would have been right. Verdict: product/buyer mismatch at purchase.
What the brochure doesn't tell you
- Reimbursement requires LICENSED care providers: family members typically don't qualify
- Premium savings vs. Nationwide CareMatters II are real but come with reimbursement burden
- Securian's brand is strong in advisor channels but less household-name than Lincoln/Nationwide
- Joint life pricing varies meaningfully by age band: get exact quote
- §1035 exchange in is allowed but Securian's underwriting may be selective
- The 6-year cap is the practical limit: longer periods cost meaningfully more
Illustrative examples: who fits, who got burned
Illustrative examples: these are composite scenarios, not actual clients. Names and details are changed.
Good fit: Mark, 60, Los Angeles CA
Mark had a $70K budget and wanted hybrid LTC for his retirement protection. Nationwide CareMatters II was out of reach for his benefit goal at his budget. Securian SecureCare III's 15% lower premium let him buy a 6-year benefit + 3% inflation that he couldn't afford with Nationwide. He plans to use licensed care (his family lives far away) so reimbursement model works fine. Three years in, he's happy with the choice.
Burned: Patricia, 73, Sarasota FL
Patricia bought Securian SecureCare III planning to use her daughter as primary caregiver. The reimbursement model doesn't pay informal family caregivers. So when she needed care, her daughter still had to give up her job, and the policy didn't pay for the family-provided care. Wrong product for her caregiving plan. Should have been Nationwide CareMatters II (cash indemnity). Product is fine; planning was the failure.
The pattern: Securian SecureCare III is a good product for the right buyer (typically a 55-67 buyer with a long horizon, no near-term liquidity needs, and realistic expectations) and a disaster for the wrong buyer (typically an older buyer (73+) with surrender-horizon mismatch or near-term liquidity needs). The product isn't the problem. Buyer/product mismatch is.
Quick FAQ
Q: Is this policy right for me?
A: It fits if you can pass medical underwriting and want insurance, not savings, to pay for long-term care. Compare the monthly benefit, the benefit period and the inflation option against what care costs where you live before you buy.
Q: How does this policy pay out?
A: Benefits are paid when you qualify for care, generally when you need help with 2 of 6 activities of daily living or have a severe cognitive impairment, up to the policy’s monthly limit. Hybrid policies also pay a death benefit if care is never needed; traditional LTC policies do not.
Q: What happens if the carrier goes out of business?
A: State guaranty funds protect annuity owners, typically up to $250,000 to $300,000 per owner per carrier (varies by state). Check your state's guaranty association limit. The carrier's AM Best rating signals failure probability; A-rated carriers have very low historical default rates.
Q: Can I lose money on this policy?
A: Long-term care premiums buy coverage, not investment growth. Hybrid policies return value through a death benefit or return-of-premium terms if care is never needed; traditional LTC does not. Surrendering a hybrid policy early can return less than you paid.
Q: How much commission does the agent make?
A: Typically 4% to 8% of premium for fixed indexed annuities, paid by the carrier (not from your money). Higher commission products often have longer surrender periods or smaller caps. The product cost to you is the same whether commission is high or low, but commission size is a useful proxy for product complexity.
Q: Should I roll over my 401(k) into an annuity?
A: Sometimes yes, often no. Yes if: you want guaranteed income, you're risk-averse, you have other liquid assets for emergencies, and you're 55+. No if: you're under 50, you need liquidity, you have plenty of pension/SS income, or you'd be putting all your retirement assets into one product. Get an independent second opinion before rolling over six figures.
Q: Why are caps so different across products?
A: Trade-offs. Higher cap = lower bonus, longer surrender, lower-rated carrier, or different index strategy. There's no free lunch. A 10%+ cap typically means B-rated carrier + 14-year surrender. A 6% cap typically means A+ carrier + shorter surrender.
Q: How are annuity earnings taxed?
A: Inside the contract, growth is tax-deferred (no tax until you withdraw). Withdrawals are taxed as ordinary income (not capital gains). For non-qualified annuities, only the gain portion is taxable. For qualified (IRA) annuities, the entire withdrawal is taxable. There's a 10% IRS penalty on withdrawals before age 59½.
How hybrid LTC works, in plain terms
A hybrid life + LTC insurance policy combines a life insurance base with a long-term care (LTC) rider. If you need long-term care, the policy pays you tax-free LTC benefits. If you DON'T need care, the death benefit passes to your heirs. No "use-it-or-lose-it" like traditional LTC.
The math:
• Pay a single premium of $100,000 at age 65
• LTC benefit pool: ~$250,000-$300,000 (with inflation rider)
• Tax-free LTC benefits if you qualify (2 of 6 ADLs deficient for 90+ days OR cognitive impairment)
• If you never need care: full death benefit to heirs (~$150K-$200K)
The §1035 advantage:
Old whole life or universal life with $50K+ cash value? A §1035 exchange moves it tax-free into hybrid LTC and turns stagnant cash into 2-3× LTC benefit leverage.
The fees are baked into the premium. There is no separate annual fee.
Quick Hybrid LTC FAQ
Q: Why is hybrid LTC better than traditional LTC?
A: Traditional LTC is use-it-or-lose-it (no death benefit if no care needed) PLUS premiums can increase. Hybrid LTC has a death benefit if unused AND premium is locked at issue.
Q: How are LTC benefits taxed?
A: TAX-FREE under IRC §7702B + PPA 2006 §844 when triggered for qualifying LTC needs.
Q: What triggers LTC benefit payment?
A: HIPAA chronic illness certification: 2 of 6 ADLs (Activities of Daily Living) deficient for 90+ days, OR substantial cognitive impairment requiring supervision.
Q: What's the difference between indemnity and reimbursement?
A: Indemnity (Nationwide CareMatters II, OneAmerica) = monthly cash, no receipts needed. Reimbursement (Lincoln MoneyGuard, Securian SecureCare) = submit care bills, get reimbursed. Indemnity has flexibility advantage.
Q: Can I use family members as caregivers?
A: Indemnity hybrid LTC: yes, you can pay family caregivers. Reimbursement model: typically no. You must use licensed providers.
Q: How long do benefits last?
A: Most hybrid LTC: 2-7 year benefit periods (typically 6 years). OneAmerica Asset Care is the ONLY hybrid with lifetime/unlimited duration.
Q: What's the §1035 exchange play?
A: Transfer cash value from existing life insurance or non-qualified annuity tax-free into hybrid LTC. Common 2-3× leverage on LTC benefit pool vs. the cash transferred.
Q: What if I die without needing care?
A: Death benefit (typically equal to or slightly higher than premium paid) passes to heirs. Not a wasted premium.
Who Securian SecureCare III actually fits
- 55-75 buyer with $35K-100K to commit
- Wants lowest premium hybrid LTC
- Plans to use licensed care (home health, assisted living, skilled nursing)
- Comfortable with reimbursement model + ongoing documentation
- Wants A+ carrier
Who should look elsewhere
- Want cash for family caregivers → Nationwide CareMatters II
- Want lifetime LTC → OneAmerica Asset Care
- Want 0-day elimination + 70% ROP → Lincoln MoneyGuard III
- Want absolute lowest cost → traditional standalone LTC (use-it-or-lose-it model, lower premium)
Sources
- Securian SecureCare III product materials (2026)
- Long Term Care Insurance Partner: Securian SecureCare III
- AM Best Minnesota Life rating report
Get a second opinion before you sign
Talk to Hans Goldstein, a licensed independent insurance producer.
Hybrid LTC is a permanent decision committing six figures. Before you sign, is the benefit duration right for your risk tolerance? Is there a §1035 exchange play from an old policy? Get a second opinion before you commit a six-figure premium.
Send your details. Within one business day you get a written review of your quote, a side-by-side with two alternatives, and a free 15-minute call if you want one.
Rather talk it through? Or book 15 minutes on Hans’s calendar, or call 213-414-2808.
Hans Goldstein · 213-414-2808 · NPN 20602398, independent licensed insurance producer appointed with multiple A-rated carriers
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Disclosure
This review is based on the carrier's public product materials and rates as of the date shown above. Annuity rates, caps, participation rates, payout factors, crediting methods, and long-term care benefit structures change often, sometimes monthly. Confirm current figures in the latest carrier disclosure and the contract before you buy. This is general education, not a personal recommendation or an offer of any product. Hans Goldstein is an independent licensed insurance producer (CA license 4273294, NPN 20602398) appointed with several A-rated carriers. His appointment with the carrier reviewed here may vary, and this review is not an endorsement. No carrier paid for this review. Always read the actual contract and consult a licensed advisor before purchasing any annuity or long-term care insurance product. Past index performance does not predict future credited interest. Annuities and hybrid life+LTC policies are long-term contracts with surrender charges; they are not suitable for funds you may need before the end of the surrender period. AM Best ratings and tax treatment are subject to change. Tax discussion of IRC §7702B, §1035, and the Pension Protection Act of 2006 reflects law as of 2026 and is subject to change.