Sarah’s Story: Why She Finally Looking Into Long-Term Care Insurance
Sarah never thought she’d be thinking about long-term care insurance in her 30s, but that’s the situation she found herself in. It started a few months ago when she flew home to help her mom after a minor fall. The fall wasn’t serious, just a sprained wrist. However, it was enough to make Sarah realize how fast things can change. While visiting her mother, Sarah spent a lot of time going through her bills and helping her with basic errands, and it made her start to think about what happens down the road if something more serious comes up.
That week, Sarah found a Reddit thread where someone was talking about caring for their dad after a stroke. The user wrote about how they had to leave their job temporarily, cash in savings, and scramble to find a caregiver who didn’t cost more than their parents’ monthly income. The stroke changed everything overnight, and her parents didn’t have long-term care insurance.
Another story on r/personalfinance was from someone whose parents had a decent nest egg but were burning through it fast to pay for a memory care facility. The monthly cost was over $7,000 and climbing. Even with planning well for retirement, they didn’t plan for the expenses associated with long-term memory care.
That’s where Sarah started to take a look at long-term care insurance. Not just for her parents, but for her herself, too. It felt like the responsible next step for her family. Here’s what she learned.
Who Might Consider Long-Term Care Insurance
If you’re a millennial like Sarah, you might be wondering if you’re too young to even think about long-term care insurance. But the truth is, it’s usually cheaper and easier to get when you’re younger and healthier. Here’s who might want to start considering it:
- People with aging parents often face challenges due to having little to no long-term care coverage.
- Individuals who don’t want to rely solely on family for care.
- Anyone without a massive retirement fund that could absorb the cost of assisted living, memory care, or in-home help.
- Single adults who may not have a partner to care for them later.
- Millennials are thinking long-term about protecting their assets or easing future burdens on loved ones.
Even if you’re not ready to buy a policy today, it’s worth starting the conversation and learning what your options are before your health or premiums change.
Compare the Best Long-Term Care Insurance Companies
Moving Forward with Long-Term Care Insurance Options
Once Sarah decided to look into long-term care insurance, she realized it wasn’t as straightforward as car or health insurance. There are different types of policies, and not all of them work the same way.
Here are the most common options:
- Traditional Long-Term Care Insurance
This is the classic kind. You pay premiums (usually annually), and if you need care down the road, the policy kicks in. If you never need care, though, you don’t get the money back. - Hybrid or Linked-Benefit Policies
These combine long-term care insurance with either life insurance or an annuity. If you never need long-term care, your family still gets a death benefit. - Life Insurance Riders
Some life insurance policies allow you to add a long-term care rider that lets you tap into the death benefit to cover care costs. These can work, but the coverage is often limited.
To get started:
- Research Providers – Focus on financial strength, reputation, and recent customer feedback.
- Get Quotes Early – Premiums are based on age and health, so earlier usually means cheaper.
- Compare Policy Terms – Look closely at daily benefit amounts, elimination periods, inflation protection, and benefit durations.
- Work With a Specialist – Many people don’t understand all the moving parts. There are brokers and financial planners who focus on this area.
Risk Factors of Long-Term Care Insurance
As much as you can plan, we also need to be honest about the not-so-great side of long-term care insurance:
- Rising Premiums: Premiums often go up over time, especially with older traditional policies. Some providers have scaled back or exited the market altogether due to the rising cost of coverage.
- Use-It-or-Lose-It: With traditional policies, if you never need care, you get nothing back.
- Complicated Policy Terms: There’s a learning curve. Things like “elimination period” or “inflation rider” aren’t exactly intuitive.
- Limited Carriers: Since not every insurance company still offers long-term care insurance, shopping around can be more challenging.
That said, a lot of these risks can be reduced if you work with a specialist and know what you’re getting into. And hybrid options have helped make the whole idea more appealing to people in their 30s and 40s.
Recommended Long Term Care Insurance Providers for 2025
Here are the companies that people are recommending right now:
1. Mutual of Omaha
- Why Reddit Likes It: Long-standing reputation, reliable customer service, and flexible traditional LTC policies.
- Standouts: One of the few companies still committed to offering standalone long-term care insurance.
- Best For: Individuals seeking a traditional policy who are comfortable with a use-it-or-lose-it model.
2. OneAmerica
- Why Reddit Likes It: Strong hybrid policies that link long-term care with life insurance or annuities.
- Standouts: Premiums are guaranteed not to increase, which is enormous peace of mind.
- Best For: Individuals seeking long-term care coverage with a death benefit.
3. GoldenCare
- Why Reddit Likes It: Works more like a marketplace and broker, helping people compare multiple options.
- Standouts: Good for getting educated and finding competitive rates.
- Best For: Anyone who’s overwhelmed and wants to talk to someone who can lay out all the choices.
4. Lincoln Financial Group
- Why Reddit Likes It: Offers strong hybrid policies with flexible benefit structures.
- Standouts: Known for its MoneyGuard product, which is popular among younger buyers.
- Best For: Millennials seeking comprehensive long-term care and life insurance in a single policy.
5. Nationwide
- Why Reddit Likes It: Smooth application process and transparent terms for hybrid LTC products.
- Standouts: Offers inflation protection and good customer education.
- Best For: People who value customer support and clear communication.
Final Thoughts: Choosing the Right Long-Term Care Insurance
Looking into long-term care insurance has given Sarah some peace of mind. While she’s still sorting through her options, just learning about what’s out there has helped her feel more prepared. Whether deciding on the hybrid route or sticking with traditional coverage, she is confident she is doing something likely to benefit her family in the future.
If you’re thinking about it too, start now. Talk to your parents. Talk to your partner. Talk to someone who knows the system. The earlier you start, the more options you’ll have.
Frequently Asked Questions
We answer the questions that matter most about long-term care insurance.
Long-term care insurance helps pay for services that regular health insurance or Medicare often won’t, like in-home care, assisted living, memory care, or nursing home stays. It covers things like help with daily activities (bathing, dressing, eating), which become essential as people age or face chronic illnesses.
The ideal time is typically between your late 40s and early 60s, when you’re more likely to qualify for better rates and coverage. Waiting too long can lead to higher premiums or even denial if health issues arise. Many millennials are buying hybrid policies earlier to lock in rates and build long-term protection.
A traditional policy offers coverage specifically for long-term care but has no payout if you never use it, like home or car insurance. A hybrid policy combines life insurance or an annuity with long-term care coverage. If you don’t end up needing care, your beneficiaries still receive a death benefit. Hybrid plans are increasingly popular due to their flexibility.
It depends on factors like where you live, your family’s health history, and care preferences (in-home vs. facility-based). Start by researching average local care costs and decide how much of that you’d want insurance to cover. A financial advisor or LTC specialist can help run projections based on your goals and budget.
