Waiting until you turned 60 to shop for long-term care insurance or resuming the Medicare will cover custodial care later is the assumption that will leave people paying full price of care out-of-pocket. Medicare covers short-term skilled nursing after hospital stay that is generally up to 100 days. But it does not cover the ongoing help with daily activities that most of the long-term care actually involves.
Long-term care insurance cost depends primarily on your age when you purchase it, your gender, whether you buy alone or as a couple and also if you add inflation protection to keep the pace with rising care cost.
According to the American Association for Long-Term Care Insurance’s 2025 data cited by the National Council on Aging a healthy 55 year-old man expects to pay around $950 a year for a policy with the $165,000 benefit and no inflation protection. While the same policy with three person compound inflation protection cost significantly more.
Quick Answer
According to AALTCI data cited by NCOA, long term care insurance will cost an average of $950-$1500 a year for a healthy 55 year old. This is the price for one who is buying a $165,000 benefit policy with no inflation protection, and that can rise to roughly $1200-$1900 a year at age 60.
Adding 3% compound inflation protection raises those costs substantially, with a 55 year old couple paying a combined $5,010 annually and a 65 year old couple paying $7,030 annually for comparable protection, according to the AALTCI 2026 Long-Term Care Insurance Price Index. Premiums vary by up to 56% between carriers for virtually identical coverage, so comparing multiple insurers before buying matters as much as choosing the right age to apply.
Key Takeaways
- A healthy 55 year old single male pays an average of $950 annually for a $165,000 benefit policy with no inflation protection, while a 55 year old single female pays $1,500, according to NCOA’s summary of AALTCI data.
- With 3% compound inflation protection, a 55 year old couple pays a combined $5,010 annually, and a 65 year old couple pays $7,030 annually, according to the 2026 AALTCI Price Index.
- Premium quotes for identical coverage can differ by more than 56% between insurance companies, based on a 2026 AALTCI comparison of Illinois couples both age 60, according to InsuranceNewsNet’s coverage of the AALTCI report.
- Non-medical home care costs a national median of $35 per hour, which totals $80,080 annually at 44 hours of care per week, per the same CareScout survey.
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How Much Does Long Term Care Insurance Cost?
Long term care insurance cost is driven primarily by the age at which you apply, since premiums are locked in based on your age and health at purchase and rise substantially the longer you wait. A healthy 55 year old male buying a $165,000 benefit policy with no inflation protection pays roughly $950 a year, while the identical policy purchased at 60 costs around $1,200, according to NCOA’s summary of AALTCI’s Price Index.
Gender affects pricing significantly as well, since women statistically use long-term care for longer durations than men. Women use long-term care for an average of 3.7 years compared to 2.2 years for men, according to the U.S. Administration for Community Living, which is the primary reason single female premiums run 40% to 80% higher than single male premiums for identical coverage.
Long Term Care Insurance Cost by Age
The table below shows average annual premiums for a $165,000 benefit policy with no inflation protection, based on AALTCI data reported by NCOA.
| Age and Profile | Annual Premium (No Inflation Protection) |
| Single male, age 55 | $950 |
| Single female, age 55 | $1,500 |
| Couple, both age 55 | $2,080 combined |
| Single male, age 60 | $1,200 |
| Single female, age 60 | $1,900 |
Source: NCOA, citing the American Association for Long-Term Care Insurance.
These figures reflect a policy with no inflation protection, meaning the $165,000 benefit pool stays fixed in value even as care costs rise over time. Most financial planners recommend adding an inflation protection rider for exactly this reason, which brings the premium substantially higher.
How Inflation Protection Changes Long Term Care Insurance Cost
Adding 3% compound inflation protection to a long term care insurance policy roughly triples to quintuples the premium compared to a level benefit policy, but it also grows the benefit pool over time to better match rising care costs.
| Age and Profile | Annual Premium (3% Compound Inflation Protection) |
| Couple, both age 55 | $5,010 combined |
| Single woman, age 60 | $4,450 |
| Couple, both age 65 | $7,030 combined |
Source: 2026 AALTCI Long-Term Care Insurance Price Index.
The tradeoff is straightforward. A level premium policy costs less upfront but leaves the benefit amount unchanged for decades, while an inflation protected policy costs more now but keeps the coverage closer to pace with the actual cost of care by the time a claim is likely, often 20 to 30 years after the policy is purchased.
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What Drives Long Term Care Insurance Premiums?
Age at application. Waiting from age 55 to 65 typically raises long term care insurance cost by 60% to 80% for comparable coverage, since insurers price the policy based on your age and remaining life expectancy at the time of purchase.
Health at underwriting. Insurers evaluate medical history during underwriting, and well-managed conditions like controlled high blood pressure often still qualify, while more serious conditions such as diabetes with complications, a recent cardiac event, or cognitive decline can result in higher premiums or a decline.
Gender. Women pay 40% to 80% more than men for identical coverage, reflecting the longer average duration of care use documented by the Administration for Community Living.
Benefit period and elimination period. A longer benefit period, meaning more years of coverage, and a shorter elimination period, meaning fewer days of self-pay before benefits begin, both increase the premium.
Inflation protection option. As shown above, adding compound inflation protection significantly increases the annual premium in exchange for a benefit pool that grows over time.
Carrier selection. Rates for virtually identical coverage can differ by more than 56% between insurance companies, according to the 2026 AALTCI Price Index, which makes comparing quotes from multiple carriers one of the most effective ways to control cost.
Long Term Care Insurance Cost vs the Actual Cost of Care
Comparing the insurance premium against the real cost of paying for care out of pocket puts the numbers in context. The national median cost of a semi-private nursing home room reached $315 per day, or $114,975 annually, in 2025, while a private room reached $355 per day, or $129,575 annually, according to the CareScout Cost of Care Survey.
| Care Type | Annual Cost (2025 National Median) |
| Nursing home, semi-private room | $114,975 |
| Nursing home, private room | $129,575 |
| Non-medical home care (44 hrs/week) | $80,080 |
Source: CareScout Cost of Care Survey, published by Genworth.
Against that backdrop, an annual premium in the range of $950 to $7,030 depending on age and coverage level looks considerably more reasonable than a single year of nursing home care paid entirely out of pocket. This comparison is the core financial argument for long term care insurance, though it is not the right fit for every household, particularly those with very limited protectable assets who may rely on Medicaid instead.
How to Lower Your Long Term Care Insurance Cost
Apply while you are younger and in good health, since both factors compound to keep the premium as low as possible for the coverage level you choose. Compare quotes from multiple carriers rather than accepting the first quote, since AALTCI’s own research shows identical coverage can vary by more than 56% in price between insurers.
Consider a shorter benefit period or a longer elimination period if the premium at your target coverage level feels out of reach, since both adjustments lower the cost while still providing meaningful protection. Work with an independent long-term care insurance specialist who represents multiple carriers rather than a single company’s agent, since a specialist can shop your specific health profile across insurers to find the most competitive rate.
Talk to Someone Before You Buy
Comparing long term care insurance costs across multiple carriers is easier with someone who reviews these policies regularly, since the price difference between insurers for the same coverage can be substantial. If you want to see what long term care coverage would cost based on your age and health, that comparison is worth doing before committing to a single insurer’s quote.
At Insure Final Expense, we help you understand how long term care insurance cost compares to your other coverage priorities, including final expense planning, so you can make a decision based on your full financial picture rather than one policy in isolation. If you want to talk through your options, we are happy to walk through it with no pressure to buy anything on the call.
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Expert Final Expense & Life Insurance Agent
Steffanie is a licensed life insurance specialist at Insure Final Expense, focusing on final expense, burial, and senior life insurance solutions. With years of industry experience, she helps families secure affordable coverage designed to protect their loved ones from financial hardship. Her content is carefully researched, compliance-focused, and created to provide clear, trustworthy guidance so readers can make confident insurance decisions.
