How To Save Money On Long Term Care

Insurance Premiums
The typical response from those considering long term care insurance is that it’s “too expensive.” Although long term care insurance policies usually cost between $1,000 and $3,000 per year, having to pay for care out of pocket is more costly.

There are a few ways you can save on long term care insurance premiums without sacrificing too much.



1. Buy Young
Because premiums are age based, the younger you are, the less they will be. It’s that simple!

2. Look for Discounts
Many different types of discounts apply to long term care insurance policies, which can help you save money on premiums, if you qualify.

• Spousal, partner or family discounts
• Preferred health discounts
• Group discounts
• Employer discounts

3. Consider Co-Insurance
If you choose to co-insure part of the cost of your long term care, you can significantly reduce your premiums. For example, if you lower your daily benefit by 30% and pay the rest out of pocket, you will be able to reduce your annual premium by that same amount.

4. Pay Premiums Annually
You can save approximately 8% a year by making an annual lump sum payment each year on your policy’s anniversary date. The carrier will send you a reminder each year so you don’t forget!

5. Determine If You Qualify For Tax Deductions
Based on your situation, we can guide you and your advisors to find tax deductions or tax credits that could be available. 

This web site may contain concepts that have legal, accounting and tax implications. It is not intended to provide legal, accounting or tax advice. You may wish to consult a competent attorney, tax advisor, or accountant. PLEASE NOTE: If there are links on this page they are provided strictly as a courtesy and the pages referenced are maintained by external sources. There is not a guarantee as to the accuracy of the information contained in the web sites you are linking to.

Copyright © 2009