How to Determine If You Need Long-Term Care Insurance


happy-family“Do I actually need long-term care insurance?” Most people ask this question and you probably do too. Unfortunately, there is no quick answer to that because all of us have different needs. The good news is, there are certain areas of your life that you can look into to determine if you actually need to purchase a policy or not.

Financial Capability

Your need for long-term care insurance is highly dependent on how you are doing financially. If you are wealthy, you probably have enough resources to pay for long term care services and applying for an insurance policy is not necessary for you. However, should your need be extensive, long term care expenses can take a huge chunk off your wealth. Since that is the case, long term care insurance can make sense for you because it can avert the risk of decreasing the value of your assets.

Meanwhile, if you’re having a hard time making ends meet, your finances may not be able to shoulder long-term care premiums. Also, you can easily qualify for Medicaid if you have minimum properties or limited assets.

The two extremes of financial standing—the wealthy and the poor—don’t have an urgent need for long-term care insurance. Evidently, those who need it are the ones in the middle—the steady and modest income-earners with a considerable amount of assets to protect. This group happens to represent the majority.

For those in the average financial level, out of pocket payments for care services can instantly deplete their assets, but annual premiums payment can be easily integrated into their budgets. Remember that the annual cost of long- term care insurance is relatively lower  than the amount you need to pay for care if you are uninsured.


Anyone may need long-term care, but women will most likely need it because they tend to live longer than men, five years more on average. Because they will likely outlive their spouses, there will be no one left to take care of them and they will need to turn to their children for care or rely on paid care services. That’s the reason why they need to be covered with an insurance policy.

In fact, current statistics show that women need long-term care more. Sixty percent of long-term care insurance holders are women and they account for about 70 to 80 percent of claims. Meanwhile, more than 70 percent of nursing home residents are females, and women are likely to spend up to 3 years in a disabled state if they reach 80—two times longer as opposed to men.

Current Situation

Look at your present life situation and see how much risk you’re taking by being uninsured. Will your loved ones be able to maintain their quality of life if you suddenly need long-term care? Do they have to put their lives on hold in order to take care of you?

Furthermore, it’s essential to look into your well-being. Evaluate your family health background and examine if your current lifestyle have implications on the future state of your health. Are you a candidate for chronic or terminal illness? If you want a clear assessment of your health, you can ask assistance from your physician. Discussing it with him will give you a picture of your future health as well as long-term care requirements.

Long-term care insurance is not for everyone, but the majority has a high a chance of needing it. If you belong to that group, don’t waste another second of staying uninsured and start shopping around for policies now. A convenient way to do so is by requesting long-term care insurance quotes online.

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