Value of Coverage

Why should I consider maintaining coverage?

Even in the face of premium increases, long term care insurance can offer value to those who made the decision to purchase such policies. We see this every day when we pay out claims to our customers when they need us most.

There are a number of factors that affect the possibility that you will need care such as age, gender, disability, health status and living arrangements. For details go to: LongTermCare.gov

As you evaluate what is best for you, we encourage you to review the current and projected cost of care in your area. For current cost of care information specific to your area, please visit our Cost of Care website.


Cost of Long Term Care Services

Shown below is the national annual median cost for long term care services.
As you think about your coverage, consider publicly available resources regarding current costs of long term care.
For example, the national accounting firm PwC recently prepared an industry study1 that indicates:

  • The average duration for a long term care event is about three years and,
  • Approximately 75% to 80% of long term care events will cost less than $250,0002

These figures are averages and approximations and your actual results may be different.

The U.S. Dept. of Health and Human Services also has information on cost of care at LongTermCare.gov

Annual Median Cost of Long Term Care Services3

Homemaker Services $47,934
Home Health Aide $49,192
Adult Day Health Care $18,200
Assisted Living Facility $45,000
Nursing Home (Semi-Private Room) $85,775
Nursing Home (Private Room) $97,455

1. The formal cost of long-term care services: How can society meet a growing need? The referenced study, initially made available in October 2016, is based on data for the time period 2000-2015 and reports figures in 2016 dollars.

2. The cost of a long term care event includes the policyholder’s out of pocket expenses and payments made by the insurance company.

3. 2017 Genworth Cost of Care Survey, conducted by CareScout June 2017. Adult Day Health Care based on 5 days per week by 52 weeks. Home Health Care based on 44 hours per week by 52 weeks. Assisted Living Facility based on 12 months of care, private, one bedroom. Nursing Home Care based on 365 days of care.

Value of Long Term Care Insurance

Policyholders have access to long term care benefits far in excess of the premiums they pay.

Funds available to pay for Long Term Care (LTC) services:

Infographic showing lifetime max increasing much higher than premiums paid over 5 years

Genworth Privileged Choice®. Assumes 56 Year-Old Male, issue state VA, Standard underwriting, $4,500 Monthly Benefit, four year Benefit Coverage Period, 90 day Elimination Period, 5% Inflation Protection. No claims incurred for 20 years. All values rounded to the nearest dollar. Assumes premiums did not change over the life of the policy. Premiums are not guaranteed. Payment of benefits is subject to all policy limitations and exclusions, including Daily/Monthly Benefit Maximums.

206401C4C 03/16/18