2023 Long term care insurance tax information - long term care insurance prices, statistics, data


Long-Term Care Insurance Facts - Prices - Data - Statistics - 2023 Reports

The information and data provided below from the American Association for Long-Term Care Insurance is based on data researched or gathered by the organization. Information may be used with proper citation (Data from the American Association for Long-Term Care Insurance, www.aaltci.org) unless as indicated otherwise. THANK YOU..

We appreciate the financial support of insurance professionals who value AALTCI's role in creating heightened awareness and understanding of the value of LTCi. If you would like to join, click this link to become a supporting AALTCI member. Thank you.

Links to Prior Years Long-Term Care Insurance Information
Click on the links to 'jump'

25 FACTS - 2022 - Click Here To Access 2022 Long-Term Care Insurance Data & Statistics

21 FACTS - 2021 - Click Here To Access 2021 Long-Term Care Insurance Data & Statistics

16 FACTS - 2020 - Click Here To Access 2020 Long-Term Care Insurance Data & Statistics

18 FACTS - 2019 - Click Here To Access 2019 Long-Term Care Insurance Data & Statistics

Click Here To Access 2017 / 2018 Long-Term Care Insurance Data & Statistics

2023 Long-Term Care Insurance Information - Click on the links to 'jump'

Which Insurers Sell Traditional Long-Term Care Insurance (New coverage, 2022)

Mutual of Omaha
Thrivent
National Guardian Life
New York Life
Northwestern Mutual Life
Bankers Life
Policy costs can vary significantly as can benefit plan options between these carriers. It is vital (in the opinion of the Association) to connect with a specialist able to educate and compare. List does NOT include companies offering linked-benefit LTC options.

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Long-Term Care Insurance Policy Costs - 2023 - PURCHASE AGE 55

Based on 2023 American Association for Long-Term Care Insurance annual Price Index survey of leading LTC insurer(s) selected by consumers. Initial policy benefit equals $165,000.

Rates shown below reflect "Select" health which is more costly than "Preferred" health.
If you are in Preferred health, you can benefit from lower rates - another reason to comparison shop.

WHY COMPARISON SHOPPING IS SO IMPORTANT
Here are actual prices from the TOP 3 SELLING LTC INSURANCE COMPANIES for a couple both age 55 ($165,000 initial pool growing at 3% compounded annually).
Company 1: $5,018-per-year
Company 2: $9,990-per-year
Company 3: $14,695-per-year
This is just one of many reasons we believe working with a long-term care insurance specialist is important. Call the Association at 818-597-3227 with any questions. Thank you.

Long-Term Care Insurance Policy Costs - 2023 - PURCHASE AGE 55

Based on 2023 American Association for Long-Term Care Insurance annual Price Index survey of leading LTC insurer(s) selected by consumers. Initial policy benefit equals $165,000.

Annual Premium - Purchase Age 55
Single Male, Age 55 (Select Health) $165,000 level benefits  $    900
Single Male, Age 55 (Select Health) benefits grow at 1% yearly  $ 1,295
Single Male, Age 55 (Select Health) benefits grow at 2% yearly  $ 1,650
Single Male, Age 55 (Select Health) benefits grow at 3% yearly  $ 2,100
Single Male, Age 55 (Select Health) benefits grow at 5% yearly  $ 3,500

Single Female, Age 55 (Select Health) $165,000 level benefits  $ 1,500
Single Female, Age 55 (Select Health) benefits grow at 1% yearly  $ 2,100
Single Female, Age 55 (Select Health) benefits grow at 2% yearly  $ 2,725
Single Female, Age 55 (Select Health) benefits grow at 3% yearly  $ 3,600
Single Female, Age 55 (Select Health) benefits grow at 5% yearly  $ 6,200

Couple Both Age 55 (Select Health) $165,000 level benefits  $ 2,080 combined
Couple Both Age 55 (Select Health) benefits grow at 1% yearly  $ 3,000 combined
Couple Both Age 55 (Select Health) benefits grow at 2% yearly  $ 3,870 combined
Couple Both Age 55 (Select Health) benefits grow at 3% yearly  $ 5,025 combined
Couple Both Age 55 (Select Health) benefits grow at 5% yearly  $ 8,575 combined
Rates above are for an initial pool of benefits equal to $165,000 (EACH at age 55).
COMPOUND INFLATION BUILDS FUTURE POLICY VALUE:Value of benefits when policyholder reaches age 85 equals $222,400 each (@1%), $298,900 (@2%) or $400,500 each (@ 3%). Prices for State of IL. Prices can vary by State. Calculated: March 2023 and subject to change by the various insurers.

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Long-Term Care Insurance Policy Costs - 2023 - PURCHASE AGE 60

Based on 2023 American Association for Long-Term Care Insurance annual Price Index survey of leading LTC insurer(s) selected by consumers. Initial policy benefit equals $165,000.

Annual Premium - Purchase Age 60
Single Male, Age 60 (Select Health) $165,000 level benefits  $  1,200
Single Male, Age 60 (Select Health) benefits grow at 1% yearly  $  1,640
Single Male, Age 60 (Select Health) benefits grow at 2% yearly  $  2,060
Single Male, Age 60 (Select Health) benefits grow at 3% yearly  $  2,585
Single Male, Age 60 (Select Health) benefits grow at 5% yearly  $  3,820

Single Female, Age 60 (Select Health) $165,000 level benefits  $  1,960
Single Female, Age 60 (Select Health) benefits grow at 1% yearly  $  2,650
Single Female, Age 60 (Select Health) benefits grow at 2% yearly  $  3,325
Single Female, Age 60 (Select Health) benefits grow at 3% yearly  $  4,450
Single Female, Age 60 (Select Health) benefits grow at 5% yearly  $  6,800

Couple Both Age 60 (Select Health) $165,000 level benefits  $  2,550 combined
Couple Both Age 60 (Select Health) benefits grow at 1% yearly  $  3,425 combined
Couple Both Age 60 (Select Health) benefits grow at 2% yearly  $  4,425 combined
Couple Both Age 60 (Select Health) benefits grow at 3% yearly  $  5,670 combined
Couple Both Age 60 (Select Health) benefits grow at 5% yearly  $  8,550 combined
Rates above are for an initial pool of benefits equal to $165,000 (for EACH) (Each at age 60).
COMPOUND INFLATION GROWTH BUILDS FUTURE POLICY VALUE: Value of benefits when EACH policyholder reaches age 85 equals $211,600 each (@1%), $270,700 (@2%), $345,500 (@ 3%) and $588,750 (@ 5%). Prices for State of IL. Prices can vary by State. Calculated: March 2023

Long-Term Care Insurance Policy Costs - 2023 - PURCHASE AGE 65

Based on 2023 American Association for Long-Term Care Insurance annual Price Index survey of leading LTC insurer(s) selected by consumers. Initial policy benefit equals $165,000.

Annual Premium - Purchase Age 65
Single Male, Age 65 (Select Health) $165,000 level benefits  $  1,700
Single Male, Age 65 (Select Health) benefits grow at 1% yearly  $  2,165
Single Male, Age 65 (Select Health) benefits grow at 2% yearly  $  2,600
Single Male, Age 65 (Select Health) benefits grow at 3% yearly  $  3,135
Single Male, Age 65 (Select Health) benefits grow at 5% yearly  $  4,200

Single Female, Age 65 (Select Health) $165,000 level benefits  $  2,700
Single Female, Age 65 (Select Health) benefits grow at 1% yearly  $  3,400
Single Female, Age 65 (Select Health) benefits grow at 2% yearly  $  4,230
Single Female, Age 65 (Select Health) benefits grow at 3% yearly  $  5,265
Single Female, Age 65 (Select Health) benefits grow at 5% yearly  $  7,225

Couple Both Age 65 (Select Health) $165,000 level benefits  $  3,750 combined
Couple Both Age 65 (Select Health) benefits grow at 1% yearly  $  4,735 combined
Couple Both Age 65 (Select Health) benefits grow at 2% yearly  $  5,815 combined
Couple Both Age 65 (Select Health) benefits grow at 3% yearly  $  7,150 combined
Couple Both Age 65 (Select Health) benefits grow at 5% yearly  $  9,575 combined
Rates above are for an initial pool of benefits equal to $165,000 (for EACH) (EACH at age 65).
COMPOUND INFLATION GROWTH BUILDS FUTURE POLICY VALUE: Value of benefits when EACH policyholder reaches age 85 equals $201,300 each (@1%), $245,000 (@2%), $298,500 (@ 3%) and $437,800 (@ 5%). Prices for State of IL. Prices can vary by State. Calculated: March 2023

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Compare Traditional Long-Term Care Insurance to Linked Benefit
- NO Inflation Growth -

IMPORTANT: Linked-benefit products today vary significantly and it is virtually impossible to provide an "apples-to-apples" comparison. The examples below are as close as we can come; designed to give consumers a good starting point. It is important to work with a knowledgeable long-term care insurance who can educate you and compare the various options.

Traditional Long-Term Care Insurance Policy - NO INFLATION GROWTH - YEARLY PREMIUMS
Single Male, Age 55 - Pool of LTC Benefits = $165,000  $  900
Single Female, Age 55 - Pool of LTC Benefits = $165,000  $  1,500
Linked-Benefit (Life Insurance + LTC) Policy - Company A - YEARLY PREMIUM PAYMENTS
Single Male, Age 55 - Pool of LTC Benefits = $180,000 / Min. death benefit = $120,000  $  3,930
Single Female, Age 55 - Pool of LTC Benefits = $180,000 / Min. death benefit = $120,000  $  3,920
Linked-Benefit (Life Insurance + LTC) Policy - Company B - ONE SINGLE PREMIUM PAYMENT
Single Male, Age 55 - Pool of LTC Benefits = $180,000 / Min. death benefit = $120,000  $  73,300
Single Female, Age 55 - Pool of LTC Benefits = $180,000 / Min. death benefit = $120,000  $  74,350

Rates above include NO INFLATION GROWTH OPTION so benefit pool WILL NOT INCREASE. Prices can vary by State and subject to change by the various insurers. Calculated: March 2023

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Compare Traditional Long-Term Care Insurance to Linked Benefit
- WITH 3% Annual Inflation Growth -

IMPORTANT: Linked-benefit products today vary significantly and it is virtually impossible to provide an "apples-to-apples" comparison. The examples below are as close as we can come; designed to give consumers a good starting point. It is important to work with a knowledgeable long-term care insurance who can educate you and compare the various options.

Traditional Long-Term Care Insurance Policy - With 3% Annual Growth - YEARLY PREMIUMS
Single Male, 55 - LTC Benefits @ Age 90 = $464,300 / no death benefit $  2,100
Single Female, 55 - LTC Benefits @ Age 90 = $464,300 / no death benefit  $  3,600
Linked-Benefit (Life Insurance + LTC) Policy - Company A - YEARLY PREMIUM PAYMENTS
Single Male, 55 - LTC Benefits @ Age 90 = $521,850 / $201,000 growing death benefit  $  5,600
Single Female, 55 - LTC Benefits @ Age 90 = $521,850 / $218,100 growing death benefit  $  6,060
Linked-Benefit (Life Insurance + LTC) Policy - Company B - 1 SINGLE PREMIUM PAYMENT
Single Male, 55 - LTC Benefits @ Age 90 = $521,840 / Min. death benefit = $120,0000  $  89,500
Single Female, 55 - LTC Benefits @ Age 90 = $521,840 / Min. death benefit = $120,000  $ 105,600
Policies include a 3% annual inflation growth option so benefits increase each year the policy is in place.. Prices can vary by State. Calculated: March 2023

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Total Amount Of Claims Paid (2019 - 2022)

Amount of long-term care insurance claims paid for traditional LTCi policies. No figure available for hybrid or other policies.

long term care insurance claims paid 2022

When citing data, please credit: "American Association for Long-Term Care Insurance, 2023, www.aaltci.org"

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