What are the odds of needing long term care insurance?
Depends on your own morbidity and mortality risk factors, along with a critical assessment of your complete financial situation and long-term goals.
Anybody who gives you an "easy" answer doesn't know enough about LTCi to give advice...no matter if they're another consumer or a supposed professional.
And here's another question to ask if you're considering it. What are the odds that your insurance company will still be around and willing to pay when you need it?
It used to be 15% of the population, now with AZ so rampant, it is likely we will all go to a carehome. I really don't think anyone needs it because if you have a spouse, you do a division of assets if one of the couple has to go to a care home. The patient's spouse gets to keep the home and one car. All the rest of the assets will be divided and when you spend down to half of those assets the patient will go on medicaid. My state is Kansas and I have been told it varies from state to state. I got to live off of what I called my husband's half. I even got to buy a new car with his half. The state can get your home after you die, but Kansas has never done that.
I don't need long term care insurance because my husband has past away. Our retirement and care is what we saved for.
Also, while I'm no expert, you need to consider how many companies are dropping LTCI--so far, they say they'll honor their existing policies, but who knows what the future will bring?
With my aunt in assisted living, it was explained to me, that she needed enough to pay her way for 2 years, then could go on medicaid. She made it 2 years, would have had enough finances to maybe go another 4-5 months, if she hadn't died.
I know there are a lot of ins and outs, on this one, but if you DON'T have a large estate, then buying long term care insurance, you're really buying insurance to take the burden off the state, aren't you? And if you have a bit of money, well, why should someone else (the insurance company, their other clients) be paying your way so your heirs can squander their inheritance on frills? Isn't self-sufficiency in our old age what we're all saving for?