Generally the younger you are, the lower your premiums will be!
There are several things listed below that can increase the price of your long term care insurance policy. A combination of two or more items could possibly even double the premium.
- If your health deteriorates, insurance companies will charge you more for the same level of coverage, that is if you can still get approved at all. If your health has deteriorated to the point where you already need long term care, most insurance companies will consider you uninsurable and won’t approve you for a new policy.
- As you grow older insurance companies will charge you more for the same level of coverage.
- If long term care costs continue to rise at the same pace as they have been, you will need to buy approximately 5% more coverage each year that you delay purchasing a long term care policy.
- Some states have minimum purchase requirements for their Partnership Programs. (long term care insurance policies that protect assets away from Medicaid) For example some states, including California and Connecticut, increase their minimum purchase requirements by 5% each year, which increases the price by 5%.
- Insurance companies regularly raise rate for new applicants, many times as much as 10% to 30%!
Conclusion: Purchase your long term care insurance policy when you are young and healthy to receive the lowest prices. If you missed the opportunity to purchase long term care insurance while you were younger and at your peak health, purchase your long term care insurance policy as soon as possible to avoid even higher rates and also avoid not being able to get approved due to deteriorating health issues.
Contact me at (941) 404-5334 to discuss your long term care options and/or get you started on the right track of getting yourself insured.