What Is Long-Term Care Insurance and Do You Need It?

What is long term care insurance? Do you need it? These are questions that many people are asking as they approach retirement age. The answer to both of those questions is a resounding “maybe.” 

Let’s take a closer look at what long-term care insurance is, long term care rates and whether or not it’s a good idea for you.

Here’s the scoop: Long-term care insurance is a coverage plan that helps protect you against potential costs associated with long-term health care, such as home health aides or nursing homes. The policy pays for medical and non-medical expenses related to long-term care services if you become ill or disabled and are no longer able to take care of yourself independently.

The decision to purchase a long-term care insurance policy is an individual one, so it’s important to evaluate your own circumstances before making a final decision. 

Here are some questions that can help guide your decision:

• What is my current financial situation?

• Are any family members currently receiving long-term care services?

• Do I have other sources of income that could cover long-term care costs?

• Do I have assets or savings that I would want to protect in the event of a long-term care need?

• What type of coverage do I need and can afford?

• What are the coverage limits of the insurance policy I am considering?

5 Things to Consider Before Choosing a Long-Term Care Insurance Plan:

1. Determine your coverage needs – How much insurance do you need? What types of services are covered by the policy?

2. Review the financial stability of the insurance company – How long has the company been in business, and what is its track record?

3. Consider any discounts or incentives available – Are there discounts for purchasing multiple policies or paying upfront?

4. Evaluate the plan’s flexibility – Is it possible to adjust or increase your coverage over time?

5. Understand when the coverage begins – Does the policy have an elimination period (a waiting period before benefits kick in)?

Once you have gathered all of this information, it is time to decide if long-term care insurance is right for you. Remember, everyone’s situation is unique, so take the time to carefully evaluate your individual needs before making a decision. It may be worth consulting with a financial advisor or insurance professional who can provide guidance and help determine the best plan for you.


Long-term care insurance can be an important part of retirement planning and can provide peace of mind knowing that your finances are protected should you need long-term care in the future. Be sure to do your research and consider all of your options when deciding whether or not to purchase a policy. With careful consideration of your needs and budget, long-term care insurance can be an invaluable asset in helping secure your retirement.