Consumers that have put off buying long-term care insurance because of unaffordable premiums may want to think again. One-quarter of long-term care insurance purchasers under the age of 61 pay less than $1,000 per year for policies, according to a new study conducted by the American Association of Long-Term Care Insurance.
The study found that one in five of participants in the study (19.4%) under age 61 pay between $20 and $30 a week, while less than one-tenth (6.8%) in this age bracket in the study pay $4,000 or more a year. Studies that report higher averages are misleading, according to the association.
“Studies that report average premium costs regrettably mislead the public into the perception that long-term care insurance is expensive,” Jesse Slome, executive director of the American Association of Long-Term Care Insurance, said in a statement. “Averages include large numbers of older buyers and other factors that result in higher costs. The fact is that many people pay far less than the average amounts reported.”
