The likelihood of using long term care services increases as we age or if we are disabled. So, planning ahead for your own or a loved one’s long term care is best, but that may not be possible for everyone. Finding a way to pay for long term care is a major concern because it can be expensive, particularly nursing home care. Many people prefer alternatives to nursing home care, such as assisted living arrangements or home health care and other community services.

There are several resources for estimating the current cost of long term care in the state where you live. The cost of care can range from $17,000 to $79,000 per year depending on the type of care needed and where the care is provided. Therefore, it’s important to plan for long term care costs.

Long Term Care Insurance

You may own or purchase a long term care insurance policy. Long term care insurance may have less costly premiums if purchased while you are younger because the cost of a policy rises with age. This does not mean purchasing a long term care insurance policy later in life will not benefit you. Purchasing a long term care insurance policy is something you may want to discuss with a financial planner.

Long-term care can be expensive. Americans spend billions of dollars a year on various services. How people pay for long-term care depends on their financial situation and the kinds of services they use. Often, they rely on a variety of payment sources. The resources for long term care include:

  • Personal funds, including pensions, savings, and income from stocks
  • Government health insurance programs, such as Medicare and Medicaid
  • Private financing options, such as long-term care insurance
  • Veterans’ benefits
  • Services through the Older Americans Act
  • Medicare
  • Medicaid (If you meet eligibility requirements)
  • Long Term Care Insurance
  • Personal Resources

The Maryland Insurance Administration maintains a list of the insurance companies that are approved to sell individual long term care policies in Maryland.  The link that follows will take you to the list:

Click to access ltc-indinspol.pdf

For More Information About Long-Term Care

National Clearinghouse for Long Term Care Information

Eldercare Locator
1-800-677-1116 (toll-free)

National Association of Area Agencies on Aging