Key Takeaways
- Long-term care premiums have a wide price range.
- Women typically pay more for long-term care insurance than men.
- Couples can buy combined premiums at a slightly discounted rate.
- Your age, health and insurance carrier policies will also impact the cost of your premiums.
Average Long-Term Care Insurance Costs
The cost of your long-term care policy will vary depending on several factors, including the type of policy you buy and whether or not you want to add an inflation rider or other optional benefits to your policy.
Also, women typically pay more than men for the same coverage, in part because women tend to live longer than men. However, married couples usually get discounts for combined policies.
Long-term care premiums have a wide price range, from $950 to $7,225 for individuals.
Statistically speaking, most people will need some type of long-term care at some point in their life. As such, it is important to plan early as to when you will purchase long-term care insurance based on your age, finances, and personal and family health history.
Daniel J. Adams, MBA, CFP®, CLU®Founder and President of CEG Life Insurance ServicesAs the founder of CEG Life Insurance Services, Daniel J. Adams has extensive experience with life and health insurance products. Daniel assists clients in building a secure financial future as a Certified Financial Planner™ professional and independent insurance agent. He also trains new agents and advises other financial professionals.
Single Policyholders
Average premiums can differ due to age, gender, inflation riders, and other factors. Below are examples of long-term care insurance average premiums in 2022, with an initial policy benefit that equals $165,000.
2022 Average Range of Annual Premiums for Single Men
| Age | Average Annual Premium | With 5% Inflation Growth |
| 55 | $950 | $3,685 |
| 60 | $1,175 | $3,800 |
| 65 | $1,700 | $4,200 |
On average, single women will pay higher premiums than men for the same amount of coverage.
2022 Average Range of Annual Premiums for Single Women
| Age | Average Range | With 5% Inflation Growth |
| 55 | $1,500 | $6,400 |
| 60 | $1,900 | $6,600 |
| 65 | $2,700 | $7,225 |
Married Policyholders
Couples can pool their money and buy a combined premium, which can cost less than two individual policies. Below is an average range of annual premiums for couples in 2022, with an initial policy benefit that equals $165,000.
2022 Average Range of Annual Premiums for Couples
| Age | Average Range | With 5% Inflation Growth |
| 55 | $2,080 combined | $8,575 combined |
| 60 | $2,600 combined | $8,750 combined |
| 65 | $3,750 combined | $9,675 combined |
Factors That Impact the Cost of Long-Term Insurance
Several factors will have an impact on long-term care insurance premiums.
Age
The older you are when you purchase long-term care insurance, the more expensive your premiums will be. It might make sense to buy your long-term care insurance earlier in life. However, the earlier you purchase, the longer you’re paying into something you may not benefit from or access until later in life.
Gender
Women pay more for long-term care insurance than men. On average, women outlive men by five years, which means they are more likely to require long-term care for a few more years than men.
Health
Your family’s health history will also come into consideration. The better your overall health, the lower your premium will be. If you have been diagnosed with a serious degenerative condition, like Alzheimer’s, you may be unable to purchase long-term care insurance.
Insurance Carrier Policies
Every insurance provider has its own policies and rates. As with other types of insurance, it can be beneficial to get multiple quotes or work with a trusted insurance broker. Be sure to explore different options and providers when looking to buy long-term care insurance.
Marital Status
Single people pay more for long-term care insurance. Married couples can apply for individual policies or a joint policy, which can provide both spouses with coverage at a potentially lower cost.
How To Pay for Long-Term Care Insurance
Paying for long-term care can be tricky in retirement when your income is fixed, but there are strategies that can help.
- Annuities
- An annuity can provide a guaranteed source of retirement income, which will offset the cost of long-term care insurance premiums.
- Long-term care rider
- You can also add a long-term care rider to your annuity or life insurance policy to help cover long-term care expenses.
- Health Savings Account (HSA)
- The tax-deferred money in your HSA is specifically for health-related expenses, including expenses relating to long-term care.
Potential Ways To Support Long-Term Care Insurance Payments
Frequently Asked Questions About Long-Term Care Insurance
The earlier you buy long-term care insurance, the less your premiums will cost, but buying too early means you’ll pay premiums for many years before accessing benefits. It also depends on your personal situation. If you’re fairly young, in good health, and don’t have significant negative family medical history, consider waiting to purchase long-term care insurance. If you’re young with poor health or a family history of poor health, or if you are over 50 without a policy, consider purchasing long-term care insurance sooner rather than later.
Yes, up to a certain point. In 2023, the deduction limits for long-term care insurance have increased. Individuals aged 51-60 can now deduct up to $1,790; those aged 61-70 can deduct $4,770 and people aged 71+ can deduct $5,960.
Very much so. While insurance carriers can add services and riders to their long-term care packages, there are two basic types of long-term care insurance policies. Traditional policies cover care at home as well as in assisted living, retirement or nursing home facilities. Hybrid policies cover that care and can also provide additional benefits. As such, hybrid policies are typically more expensive.
Editor Samantha Connell contributed to this article.
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