Some average costs for long-term care in the United States (in 2010) were:

$205 per day or $6,235 per month for a semi-private room in a nursing home

$229 per day or $6,965 per month for a private room in a nursing home

$3,293 per month for care in an assisted living facility (for a one-bedroom unit)

$21 per hour for a home health aide

$19 per hour for homemaker services

$67 per day for services in an adult day health care center

The cost of long-term care depends on the type and duration of care you need, the provider you use, and where you live. Costs can be affected by certain factors, such as:

Time of day. Home health and home care services, provided in two-to-four-hour blocks of time referred to as “visits,” are generally more expensive in the evening, on weekends, and on holidays

Extra charges for services provided beyond the basic room, food and housekeeping charges at facilities, although some may have “all inclusive” fees.

Variable rates in some community programs, such as adult day service, are provided at a per-day rate, but can be more based on extra events and activities

Many people believe that the medical insurance they currently have will pay for all or much of their long-term care. In general, health insurance covers only very limited and specific types of long-term care, and disability policies don’t cover any at all.

Health Insurance

Most forms of insurance, such as the private health insurance or HMO you may have on your own or through your employer, follow the same general rules as Medicare with regard to paying for long-term care services. If they do cover long-term care services, it is typically only for skilled, short-term, medically necessary care.

Like Medicare, the skilled nursing stay must follow a recent hospitalization for the same or related condition and is limited to 100 days

Coverage of home care is also limited to medically necessary skilled care

Most forms of private insurance do not cover custodial or personal care services at all

Your plan may help you pay for some of the copayments or deductibles that Medicare imposes. For example, your plan may help cover the $137.50 per day for Medicare covered nursing home care for days 21 through 100

Medigap

Medicare Supplemental Insurance, also known as “Medigap,” are private policies designed to fill in some of the gaps in Medicare coverage. Specifically, these policies help to:

Cover Medicare copayments and deductibles

Enhance your hospital and doctor coverage, but does not extend to long-term care coverage

Cover the daily Medicare copayment of $148.00 per day for days 21 through 100 for the small portion of nursing home stays that qualify for Medicare coverage

Medigap insurance is not intended to meet long-term care needs and provides no coverage for the vast majority of long-term care expenses like care in a nursing home, vision or dental care, hearing aids, eyeglasses, or private-duty nursing.

There are 12 standardized Medigap plans defined by federal law. Find out more about Medigap and see what is covered at the official government website for Medicare.

Disability Insurance

Disability insurance is intended to replace some of a working person’s income when a disability prevents them from working. It does not:

Cover medical care or long-term care services

Provide benefits once you are over age 65—when you are most likely to need long-term care services

What Long-term Care Insurance Covers
Receiving Long-Term Care Insurance Benefits
Buying Long-term Care Insurance
Where to Look for Long-term Care Insurance
Long-term Care Insurance Costs

Unlike traditional health insurance, long-term care insurance is designed to cover long-term services and supports, including personal and custodial care in a variety of settings such as your home, a community organization, or other facility.

Long-term care insurance policies reimburse policyholders a daily amount (up to a pre-selected limit) for services to assist them with activities of daily living such as bathing, dressing, or eating. You can select a range of care options and benefits that allow you to get the services you need, where you need them.

The cost of your long-term care policy is based on:

How old you are when you buy the policy

The maximum amount that a policy will pay per day

The maximum number of days (years) that a policy will pay

The maximum amount per day times the number of days determines the lifetime maximum amount that the policy will pay.

Any optional benefits you choose, such as benefits that increase with inflation

If you are in poor health or already receiving long-term care services, you may not qualify for long-term care insurance as most individual policies require medical underwriting. In some cases, you may be able to buy a limited amount of coverage, or coverage at a higher “non-standard” rate. Some group policies do not require underwriting.

Long-term care services and support typically come from:

What Long-term Care Insurance Covers
Receiving Long-Term Care Insurance Benefits
Buying Long-term Care Insurance
Where to Look for Long-term Care Insurance
Long-term Care Insurance Costs