Return of premium LTC is a long-term care insurance feature or rider that provides for some or all of the premiums paid to be returned, typically as a death benefit, if the insured never uses long-term care benefits or uses them only partially. The benefit may be reduced by claims paid or may be structured to guarantee a minimum death benefit regardless of usage, depending on the design. Return of premium LTC features increase premiums but can make coverage more appealing to clients who worry about "using it or losing it." They are common in hybrid life/LTC policies and appear less frequently in stand-alone LTC products today.

Advisors present return of premium LTC options to clients who are reluctant to commit dollars to coverage they might never need. Illustrations show how the rider's cost affects premiums and how much would be payable at death under no-claim, partial-claim, and full-claim scenarios. In hybrid life/LTC designs, the base life benefit often functions as a built-in return of premium, while additional riders can enhance guarantees. Suitability and best-interest reviews weigh the psychological comfort of return of premium against higher costs and potentially reduced pure LTC leverage. Clear discussion helps clients decide whether return of premium LTC aligns with their risk tolerance, legacy goals, and budget.