Long-term care (LTC) policies, available from many insurance companies, offer a wide variety of features. Some policies may pay for care not only in a nursing home but also in an assisted living facility or at the home of the individual who needs care.
Policies may include cost-of-living adjustments, which would increase future benefit payments. Some companies offer LTC policies that cover both spouses at a discounted rate, versus two separate policies.
There also are life insurance policies that double as LTC insurance. That is, long-term care expenses will be covered, if necessary, and the policy’s death benefit will be reduced. If long-term care never is required, the insured individual’s beneficiary eventually can receive the full death benefit.
For any type of LTC insurance, it may make sense to buy when you are in your 50s or 60s. Ongoing premiums will be lower, compared with policies bought at older ages.
