Many long-term care insurance policies and plans assist seniors with paying the cost of long-term care in an attempt to prevent their life’s savings being depleted from paying for such services. However, these types of coverage’s can be extremely expensive, considering the premiums increase with the age of the purchaser. According to an article in the Wall Street Journal, a 55-year-old single adult can expect to pay approx. $2,065 a year for $162,000 in benefits with a 3-percent compound inflation protection (this increases your benefits to compensate for inflation).
According to your overall income, your premiums can be affordable, however, you will need to make sure you can afford the premiums after retirement. And even if you can, you may not be able to justify the expense if you have the resources to pay for care out of pocket. You can discuss these options with your financial planner to assist you with making the right decisions.