In 2007, roughly 85% of individual long term care policies purchased had inflation protection provisions, reports the American Association of Long Term Care Insurance, Westlake Village, Calif.

In 1990, only 40% of LTC policies had inflation-protection features. By 2005, that figure had grown to 76%, according to the AALTCI’s “2008 Sourcebook For Long Term Care Insurance Information.”

Of 2007 LTC insurance policies sold, 42% provided for benefit increases of 5% compounded for life, 18% provided for a simple 5% annual increase and 25% provided other options, such as the right to purchase more coverage in the future, according to the Sourcebook.

The Sourcebook also provides cost averages for home care, assisted living and nursing home care in major metropolitan areas.