Long Term Care
Insurance

Cost of Long Term Care Insurance

The cost of Long Term Care Insurance can vary dramatically depending on the type of policy you purchase, what benefits you choose and the age you purchase a policy, of course the younger you are at the time you purchase the lower the premiums will be (see example below).

Today, most LTC Insurance policies are comprehensive policies meaning they include home health care coverage, nursing home care coverage, assisted living coverage, etc. You also have to take into consideration how long you want insurance coverage for, how much per day, inflation coverage and waiting period. More so you have to take into consideration your marital status and health conditions if any. Many carriers offer a significant discount for being married or even living with a partner even if you are not married, and a Preferred health discount for good health.

According to America's Health Insurance Plans a policy with a $150 per day, 4 year long benefit period, 90 day waiting period the cost for a 50 year old the national average is $564 per year in 2002. The same policy benefits for a 65 year old is about $1,337, and $5,330 for a 79 year old. The same policy benefits with inflation coverage included the average costs for a 50 year old is $1,134, $2,346 for a 65 year old, and $7,572 at age 79. These premiums are national averages and can vary widely by state (1.).

Premiums typically stay the same each year unless the company has a rate increase with for the entire class of policyholders at the same time, and this generally does not happen with A rated carriers.

What would your premiums be with your current age, in your state? - Get a quote to find out!

 

1. America's Health Insurance Plans, Guide to Long-Term Care Insurance