Long Term Care Insurance Calculator
This calculator estimates how much additional long-term care (LTC) insurance coverage you might need today by projecting future care costs, escalating benefits, discounting to present value, and subtracting existing resources. It also provides a simple illustrative premium proxy using a user-supplied rate per $1,000 of coverage.
The tool is designed for planning and comparison. It is not a quote and does not replace underwriting or individualized advice from a licensed insurance professional.
Projects future care cost at expected onset, escalates benefits, discounts to present value, subtracts existing resources to produce an estimated additional coverage need.
Inputs
Advanced inputs
Personal assumptions
Cost & economic assumptions
Resources & premium inputs
Results
Estimated additional coverage needed
—
Projected monthly care cost at expected onset
$9,917.09
Present value of expected care (all benefits)
—
Percent of need covered now (savings + family)
—
| Output | Value | Unit |
|---|---|---|
| Estimated additional coverage needed | — | USD |
| Projected monthly care cost at expected onset | $9,917.09 | USD |
| Present value of expected care (all benefits) | — | USD |
| Percent of need covered now (savings + family) | — | % |
Visualization
Methodology
We project the current monthly cost to the expected onset age using the general inflation rate, then escalate benefit payments annually by the benefit escalation assumption. The stream of future monthly payments is converted to a present value using the discount rate and summed over the benefit period.
The calculator subtracts existing savings earmarked for LTC and any expected family contributions (expressed as a total amount) to yield an estimated additional coverage need. The premium proxy multiplies the coverage need by an illustrative rate per $1,000 of coverage. For data security and software quality, this tool is built with recommended practices aligned to NIST and ISO guidance.
Further resources
External guidance
Expert Q&A
Is this an insurance quote?
No. This calculator provides estimates for planning only. Actual premiums and available benefits require insurer underwriting, product selection, and may vary by age, health, gender, location and insurer pricing.
What should I use for inflation, escalation and discount rates?
Use historical experience and conservative assumptions. Typical inputs often range from 2% to 5% for inflation and escalation; choose a discount rate reflecting expected investment returns or your personal time value of money. Run sensitivity scenarios to understand impact.
Why subtract family contribution and savings?
The model estimates how much additional coverage (insurance) you would need after accounting for resources you plan to use. If family will contribute or you have earmarked savings, those reduce the insurance amount required.
What are the limitations of the premium proxy?
The premium proxy is a simple illustration that uses a user-supplied rate per $1,000 of coverage. It does not account for guaranteed renewability, underwriting class, inflation riders, elimination periods, lifetime vs. period benefits, or insurer-specific pricing.
How should I interpret present value?
Present value converts projected future payments into today’s dollars using the discount rate. It is a planning construct to compare needs now rather than an amount insurers will necessarily quote.
Sources & citations
- NIST Cybersecurity Framework — https://www.nist.gov/cyberframework
- ISO 31000 — Risk Management — https://www.iso.org/iso-31000-risk-management.html
- IEEE — Standards and best practices — https://www.ieee.org
- OSHA — Workplace Safety and Guidance — https://www.osha.gov