Don’t let the high costs of long term care insurance keep you from needed coverage. Here are nine ways to save.

1. Buy a group policy through your employer.

Since it is a group policy that is subsidized by your employer, the premium will be lower than if you purchased an individual policy.

2. Apply for coverage before your next birthday.

Since your premium is based on your “issue age,” the age you are when you apply for coverage, each year you wait your cost will increase by 8% to 12%.

3. Apply for coverage with your spouse.

This Joint or Shared Benefits Policy provides more flexibility in using your combined benefits and can lead to a Spouse/Partner discount of up to 25%

4. Take advantage of good health discounts.

By applying for coverage before you have health issues, you could receive a “Healthy Person” discount of between 5% and 25%. Even if your health deteriorates in the future, you will retain your “Healthy Person” discount for the rest of your life.

5. Take advantage of tax deductions.

Under Internal Revenue Service (IRS) guidelines at the time of this writing, premiums on tax-qualified policies are considered medical expenses. You may be able to deduct the premiums on Schedule A.

Editor’s note: Consult your CPA, tax preparer or the IRS to find out current deduction amounts.

6. Lower your daily benefit.

Lowering your daily benefit by 20% may result in a 20% lower premium.

7. Select a longer elimination period.

This is the amount of time that you pay out of pocket before the policy starts to pay. Increasing your elimination period from 0 to 90 days can save you up to 15% per year in premiums.

8. Make fewer premium payments.

You can also save by making one lump sum payment instead of paying monthly or quarterly.

9. Get several quotes for long term care insurance.

Prices for the same coverage can vary by hundreds of dollars, so it pays to shop around.

Related Articles

• Do You Need Long Term Care Insurance?
• What You Need o Know About Long Term Care Insurance Before You Retire
• Determine Your Long Term Care Needs
• How To Create a Long Term Care Plan
• 10 Questions To Ask About Long Term Care Insurance Before Buying

Reviewed February 2023

About the Author

With over 20 years of experience as a personal financial educator and counselor, Vernon Williams has developed in depth knowledge of what it takes to achieve financial success. Today, he is a sought after trainer and speaker by organizations from both the public and private sector.