What is eligible in Long Term Care Insurance for non-housing components of retirement villages?

The answer depends on the type of policy and how benefits are paid. If the benefits are paid directly to a provider based on $$ amounts and not considered taxable income to your father, maybe. It depends on how much of the medical and other expenses that you reported for your father are offset by the long term care insurance. If the benefits are not tied to specific bills and are "per diem" by the day, the benefits may be considered income for both income taxes and benefits. You need to read the long term contract and have someone explain the benefits and how they are paid to be able to discuss with his case manager at Social Security. Don't just ignore them, though - money that shows up without explanation in bank accounts that you submit to get recertified will cause problems.

If my father has little income and receiving additional social security benefits, would long term insurance be considered income? If so, my dad would lose his additional part B and D benefits from Social security.

Yes, all of that is include.