Discounts Make Policies More Affordable For Applicants In Their 50s
A 55-year-old individual considering long-term care insurance protection can expect to pay $665-per-year if they are married or $1,075 if they are single.
A 65-year-old purchasing comparable coverage will pay $1,292 (married) or $1,923 (single) according to the 2007 Long-Term Care Insurance Price Index published by the American Association for Long-Term Care Insurance. Costs are roughly the same as the prior year.
The annual index measures current costs for top-selling long-term care insurance policies that offer the ability to receive care either at home or in a skilled care facility. "During the past year, a number of new policies have grown in popularity, some of which provide more affordable coverage especially for younger individuals who qualify for discounts offered to those in good health as well as individuals who are married or residing with a partner," explains Jesse Slome, Executive Director of the national trade organization that conducted the research.
"Consumers mistakenly believe long-term care insurance protection is costly and nothing is farther from the truth," Slome explains. "There are discounts available today to those in good health, for non-smokers, married couples or even domestic partners," Slome notes. "You can cut costs paying annually versus monthly, roughly nine percent, and by another eight percent simply by being accepted for coverage before your next birthday."
The Association's study compares costs for plans that provide benefits for 3-years, which increasingly is accepted by industry experts as a basic level of protection for many. "With more people in their 50s purchasing protection, growth options that increase the value of benefits available to keep pace with rising costs of care is important," Slome advises. The study priced plans that provide $110,000 or $172,000 in current protection ($100/day and $150/day for 3 years) for someone age 55.