Most people that buy Long Term Care Insurance won’t need it until they are much older.

The policies are designed to not rise in cost.

However, nobody can predict the future so it is important to know whether your insurance rates can increase at some point.  Remember that when you buy a long-term care policy you should expect to keep it for the rest of your life and choose a premium you can afford to pay each year, far into the future. It’s a good rule of thumb to build into your calculation and planning an extra 10-20% as a cushion against potential future increases.

If the insurance company wants to raise rates, the increase first must be approved by each state regulator.  A regulator may or may not allow any rate increases.  If the increase is approved, you’ll have three options:

Option 1: pay the new rate with the same benefits.

Option 2: keep the same rate with different benefits.

Option 3: stop paying and get a policy worth your payments to date.

By law, rates can’t go up because you file a claim or get older.

Remember, this insurance is designed to cost the same and not require a rate increase.  But, if a change does happen – you still have choices to get the protection you need.