An estimated 7 in 10 Americans will need some form of long-term care, and the costs can be staggering. But more insurers are starting to offer policies that could help ease the burden.
The median annual cost of a private room at a nursing house is $91,250, a private room at an assisted-living center is $43,200, and the median annual cost for a home health aide is $45,760, according to Genworth Financial, one of the largest providers of long-term care insurance.
And long-term care policies aren't cheap. A healthy, 55-year-old single man can expect to pay $1,060 per year in premiums for a long-term care insurance policy that's worth $164,000 in potential benefits, according to the American Association for Long-Term Care Insurance. The average cost for a 55-year-old single woman is $1,390 for the same amount of coverage. A 60-year-old married couple would pay $2,170 per year combined for a total of $328,000 of long-term care insurance coverage.