Long-Term Care Insurance: Complete Guide

Long-term care insurance (LTCI) pays for nursing home, assisted living, and home care costs when you can no longer perform 2 of 6 activities of daily living (ADLs) or have a cognitive impairment. Policies typically pay $150–$300/day for 2–5 years.

The average annual premium for a 55-year-old couple is $3,000–$5,000. Premiums increase significantly with age — buying at 55 vs.

65 can cut premiums in half. Hybrid life/LTC policies combine life insurance with LTC benefits and are increasingly popular. About 70% of people over 65 will need some form of long-term care..