9 things to know about long-term care insurance: AHIP

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America’s Health Insurance Plans, a trade association, published a report on the use of long-term care insurance across the country.

For its “Long-Term Care Insurance Coverage: State-to-State 2025” report, AHIP compiled 2024 data from the National Association of Insurance Commissioners and CareScout’s cost of care survey.

Long-term care insurance assists with caregiving costs associated with aging, such as services at home or in a care facility. A previous survey found the majority of Americans support commercial and public payers playing a bigger role in long-term care for older adults.

Read the report’s state-by-state breakdown here.

Here are nine takeaways at the national level:

1. Over 6.9 million people nationwide are covered by long-term care insurance.

2. In 2024, long-term care insurance paid out nearly $16.9 billion in claims.

3. That same year, the estimated average claim per claimant was $185,572.

4. Since the inception of these policies, around $193.3 billion is estimated to have been paid in claims.

5. Over that period, the estimated average claim per claimant is $106,477.

6. The average monthly premium for a policy is $165.

7. Assisted living facilities cost $70,800 per year.

8. A private room at a nursing home costs $127,750 per year, whereas a semi-private room costs $111,325.

9. Typically, long-term care insurance covers over seven years of adult day care.

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