The average annual cost of private long term care insurance is $772 for a 55-year-old and $1,456 for a 65-year-old, a trade group says.
The American Association for Long Term Care Insurance, Westlake Village, Calif., has published those figures in a report on its 2006 LTC Insurance Price Index.
The index is an indicator of current costs for typical comprehensive policies that include compound inflation protection and allow policyholders to receive care either at home or in a skilled care facility.
Factors affecting actual costs include the health and marital status of the insured, the level of coverage purchased, and state of residence, says AALTCI Executive Director Jesse Slome.
The $772 average cost for a 55-year-old includes both preferred health and spousal discounts for a 3-year policy that provides $100 a day in benefits, or roughly $110,000 in current protection, Slome says.