Long-Term Care Insurance
Most people will need some form of long-term care, but Medicare doesn't cover it. Here's what you need to know.
What long-term care is
Long-term care (LTC) is help with daily activities like bathing, dressing, eating, and moving around. It's not medical care - it's personal care you might need if you can't fully take care of yourself due to aging, illness, or disability.
- • Nursing home care
- • Assisted living facilities
- • Home health aides
- • Adult day care
- • Memory care for Alzheimer's/dementia
The cost problem
Long-term care is expensive, and most people will need it at some point:
The average length of care needed is about 3 years. At $9,000/month, that's over $300,000 - more than many people's total savings.
How long-term care insurance works
Long-term care insurance pays a daily or monthly benefit when you need care. You can use the money for any type of care - nursing home, assisted living, or home care.
Typically, you need to be unable to perform 2 or more "activities of daily living" (bathing, dressing, eating, toileting, transferring, continence) or have cognitive impairment.
Most policies have a waiting period (30–90 days) before benefits start. You pay out of pocket during this time. Longer elimination periods = lower premiums.
How long the policy pays: 2 years, 5 years, or lifetime. Most claims last 2–3 years, but longer coverage provides more protection.
How much the policy pays per day (e.g., $150–300/day). Choose enough to cover care costs in your area.
Is LTC insurance right for you?
Long-term care insurance isn't for everyone. Here are the key factors:
Ages 50–65 typically. Younger = lower premiums. Older or with health issues = may not qualify or premiums may be too high.
Significant assets you want to protect, family history of conditions requiring long-term care, or no family nearby to provide care.
You have limited assets (Medicaid would cover care), very high assets (can self-insure), or can't afford premiums without strain.
Planning tools
Related coverage options
Want help planning for long-term care?
Our licensed agents can help you understand your options and evaluate whether long-term care insurance makes sense for your situation.
This is a solicitation for insurance. Medicare has neither reviewed nor endorsed this information.