What Does LTC Insurance Cost?
Premiums vary widely by insurer. Savvy shoppers can save thousands of dollars over the life of your policy by knowing which price points are the most competitive for each company.
Most policies are designed around four fundamental building blocks:
- Monthly Benefit - How much you wish to receive each month
- Duration of Benefit - How long your monthly benefit will last
- Elimination Period- How long you're willing to wait before benefits begin
- Inflation Protection- How fast your benefits will grow over time
Each building block is scalable and contributes to the price of the policy.
For example, a policy with a $3,000 monthly benefit payable for 2-years will cost much less than a policy with a $6,000 monthly benefit payable for 5-years.
It Pays to Compare
LTCA utilizes state-of-the-art software to compare pricing between all of the leading policies. Through our screen sharing technology, you'll see all of the rates that have been filed and approved in your state in real-time.
Don't be fooled by "averages" you've read about elsewhere. There's no average buyer, just as you're not average. How much coverage a healthy 58-year old male can obtain for $2,200 will differ quite a bit from that of a health-impaired 76-year old female. Instead, LTCA suggests you look at specific objectives, such as:
- What can I purchase for under $100 per month?
- What is the premium to cover the average cost of care in my area?
- What will it cost to protect $400,000 of my assets?
Premium Examples by Age
Having said that, if you're just starting your research, the following rates will give you a ballpark of what to expect for a typical policy for both single and married applicants:*
Single Female
Age 45 - $1,269 yr.
Age 55 - $1,548 yr.
Age 65 - $2,257 yr
Single Male
Age 45 - $898 yr.
Age 55 - $1,063 yr.
Age 65 - $1,543 yr.
Married Female
Age 45 - $867 yr.
Age 55 - $1,047 yr.
Age 65 - $1,565 yr.
Married Male
Age 45 - $661 yr.
Age 55 - $778 yr.
Age 65 - $1,163 yr.
* Policy premiums assume: Best health rate class, $100 per day facility and home health care benefit, 3-year lifetime maximum benefit period, 90-day elimination period, 3% compound inflation protection. Annual premiums are the average of the three leading product solutions in the LTCA portfolio. Quotes available upon request.
