This blog post is designed to provide general information on the subjects covered. It is not, however, intended to provide specific estate planning, insurance, tax or legal advice. Please note that LTC Consumer and its representatives do not give financial planning, tax or legal advice. You are encouraged to consult with your tax advisor or attorney concerning your own situation.

What Is the Cost of Waiting to Buy Long Term Care Insurance?

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You may understand the value of Long Term Care insurance, but like many people, you may choose to wait a few more years to buy coverage. But did you know there is a cost of waiting when buying Long Term Care insurance?

Waiting a few more years could cost you more money in premiums or you may no longer be eligible for coverage. If you wait, make sure you understand the true cost of waiting.

Cost of Waiting = Higher Premiums

The older you are when you buy Long Term Care insurance, the higher your premiums will be. Each year you wait, LTCI premiums get more expensive.

Over the past decade, we’ve seen the Long Term Care insurance market constantly evolve and change. Carriers are coming out with new products every couple years with higher rates than the product series before. Women are now being charged more for coverage than men.

An evolving market means premiums in the future could be even higher based on risk and assumptions – not just your age. Buying while you’re young and healthy is the surest way to get affordable coverage and cover your risk, whenever and wherever you need it.

 

Cost of Waiting = No Guarantee of Coverage

A health issue could strike at any time leaving you ineligible for coverage. Waiting just a few years to buy could result in not getting coverage at all.

When you’re thinking about buying LTC coverage, now is the time. Talk with your spouse about creating a long term care plan or consider your options as an individual. Make a long term care plan while you’re healthy to protect your risk.

Cost of Waiting = Extending Your Risk

Just like a health issue can strike at any time, so can a long term care event. Waiting to buy coverage may increase your financial risk.

National Average Cost of Care

Long term care services are expensive. LTCI covers you if you need care in a nursing home, assisted living, or services at home from a home health aide. Below are the national average costs for long term care services.

Care Services

Cost of Care Per Month

Nursing Home

$6,990
(semi-private room)

Assisted Living

$4,245
(one-bedroom unit)

Home Health Care

$3,872

Source: Mutual of Omaha’s Cost-of-Care Survey, June 2015

To find the cost of long term care services where you live, visit our online cost of care map.

What’s keeping you from buying Long Term Care insurance? Consider the cost of waiting including rising premiums and the risk of a health issue or long term care event.

If you have questions about coverage, speak with our LTCI Specialists today for a no obligation planning session. Curious what coverage costs today? Get an instant online LTCI quote from top-rated insurance companies here.

LTC Consumer is an independent, free online service to help consumers understand what long term care insurance is, how it works, and how to evaluate coverage options. Our mission is to provide an educational, no-pressure resource for learning about long term care planning, with the opportunity to speak with specialists who can help them.

 

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