Compare long-term care insurance premiums against the benefits payable.
Without an inflation rider a daily benefit set decades before a claim loses most of its real value. The rider substantially raises the premium but is what preserves the policy's usefulness. Policies are only claimed by a minority, so the comparison is about transferring catastrophic risk rather than expected value, and premiums can also rise on existing policies.
Long-Term Care Insurance
Maximum benefit = daily benefit grown by the rider × 365 × benefit period
This is a general illustration, not financial, tax or legal advice. Rules, thresholds and rates vary by jurisdiction and change frequently, and individual circumstances materially affect outcomes. Consult a qualified adviser before making any decision based on these figures.
Maximum benefit = daily benefit grown by the rider × 365 × benefit period Without an inflation rider a daily benefit set decades before a claim loses most of its real value. The rider substantially raises the premium but is what preserves the policy's usefulness.
Policies are only claimed by a minority, so the comparison is about transferring catastrophic risk rather than expected value, and premiums can also rise on existing policies.
This calculator takes 6 inputs: Annual premium, Current age, Age care is expected, Daily benefit, Benefit period, Inflation rider. The pre-filled defaults are a realistic starting point — replace them with figures from your own environment for a result you can act on.