As prices climbed at gas stations and grocery stores in 2023, long-term care insurance premiums went down in price year-over-year. That’s welcome news for those who may need this type of coverage in the near future.

And if you’re wondering if you need long-term care insurance, the answer is likely yes. Most people age 65 or older have a high probability of needing long-term care at some point in the future, and it’s typically a good idea to plan for the high cost of that care before you need it. 

With the recent drop in long-term care insurance costs, this could be the perfect time to get coverage. After all, the drop in long-term care insurance premiums isn’t likely to last forever, and prices are usually more affordable for younger applicants. But those aren’t the only reasons to consider purchasing a policy. 

Find out how affordable long-term care insurance can be right now. 

Why you should take advantage of lower long-term care insurance prices right now

There are several reasons to purchase a long-term care insurance policy right now, including: 

Inflation is ticking up

Persistent inflation continues to be an issue for the U.S. economy. According to the most recent report, inflation rose 3.2% in February compared to one year earlier, up from 3.1% in January. And as prices for goods and services continue to climb, the cost of long-term care services will likely follow.

“The costs of long-term care have skyrocketed in recent years, leaving much of the aging population unprepared to fund care or age at home,” says Larry Nisenson, CGO at Assured Allies, a financial planning and insurance firm that serves seniors. “Long-term care insurance serves as protection to help offset the cost of these services.”

Compare your long-term care insurance coverage options now. 

You never know when you’ll need care

While it may seem like long-term care insurance is mainly geared toward seniors, the reality is that the need for long-term care can arise at any moment. And that’s true regardless of how old you are. 

Car accidents, strokes and other events have the potential to impact your ability to care for yourself. Should one of those issues occur, long-term care insurance can help pay for the care you need. 

Long-term care can cost over $100,000 per year

You may incur long-term care expenses even if you depend on family caregivers. For example, you may need to take advantage of adult daycare services while your family caregivers are at work. Those services had an estimated cost of $2,120 per month in 2024, according to Genworth. 

But for those who plan on more formal long-term care options, the costs can be significantly higher. For example, the average cost of an assisted living community is expected to be about $5,511 per month in 2024. Home health aides are expected to cost $6,481 per month on average this year, and a private room in a nursing home is expected to run about $10,025 per month. 

So, depending on the type of care you need, the cost of that care could exceed $100,000 per year, which could be difficult to pay out of pocket. 

Purchase a long-term care insurance policy now. 

The bottom line

The recent drop in long-term care insurance prices is a welcome surprise, and since premiums for this type of insurance are often cheaper when you’re younger, now may be the perfect time to purchase a policy. But low prices aren’t the only reasons to buy long-term care insurance. This type of insurance can also help you afford the high cost of care. Moreover, you never know when you’ll need long-term care. So, purchasing a policy now will help ensure that you can afford the care you need in the future. 

Joshua Rodriguez

Joshua Rodriguez is a personal finance and investing writer with a passion for his craft. When he’s not working, he enjoys time with his wife, two kids, three dogs and 6 ducks.