Should you really get long-term care insurance in America? Here’s what the numbers actually say

Should you really get long-term care insurance in America? Here’s what the numbers actually say

Vishesh Raisinghani

Thu, August 20, 2026 at 2:10 PM GMT+3 5 min read

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There's no avoiding it: The U.S. is rapidly aging.

In 2025, a record-breaking number of Americans, 4.18 million to be exact, turned 65 years old, according to Milliman (1). For many people, this milestone means they're either approaching their Social Security claim, preparing for retirement or eligible for senior discounts.

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What most people this age neglect is the true risk of needing long-term care. According to a 2025 survey by Northwestern Mutual, only 61% of U.S. adults expect to experience a long-term care event in their senior years (2). But only 42% of Boomers and 35% of Gen X'ers say they have planned financially for the possibility.

Unfortunately, the likelihood of needing long-term care is substantially higher. It's also exorbitantly expensive. Ignoring this risk could be one of the most financially risky moves you can make in retirement.

Here's why the data suggests this is an underappreciated risk for American seniors.

Financial blind spot

There could be two key reasons why many seniors neglect the risk of long-term care.

First, they might not be aware of the true cost of this form of medical attention. According to Miliman's 2025 Long-Term Care Index (LTC Index), the lifetime cost of long-term care for someone aged 65 is $135,000.

That's an average estimate. The cost is significantly higher for women ($171,000) and much lower for men ($98,000). Nevertheless, most people are looking at a six-figure drain on their finances at a time when they're living on a fixed income.

Second, many American seniors could be counting on the wrong financial safety net to cover them. Roughly 58% of Americans wrongly believe Medicare will cover long-term care (LTC) expenses, according to the 2025 Nationwide Retirement Institute Long-Term Care survey (3).

The study called this a "dangerous myth."

"Medicare's LTC coverage is limited and short-term, and does not provide the extended, day-to-day support aging Americans will eventually need," according to the report.

Simply put, if you want to avoid the risk of a six-figure meteorite hitting your retirement plan, you probably need a backup plan. Preferably, long-term care insurance.

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What is long-term care insurance?

As the name suggests, long-term care insurance helps pay for everyday support you might need as you age — things like nursing care, therapy, help with bathing and dressing, meal prep and household tasks.

Like any other insurance policy, this one comes in many variations. You could, for instance, sign up for a hybrid plan that combines life and long-term care insurance or a short-term care plan. From home health care to assisted living, there are many features to consider while shopping for this form of insurance.

If you're not sure where to start or don't have the time to compare and contrast, you could work with an aggregator to find offers instead.

GoldenCare is a marketplace that partners with well-known long-term care insurance providers such as Aetna, ManhattanLife and OneAmerica. The platform can help you compare different plans and providers to find the best fit for you, your circumstances and your health.

Even better, GoldenCare also offers a set of premium discounts, including savings for spouses and small businesses.

There are many options to choose from, but the only wrong choice is going without any coverage. Long-term care is expensive, increasingly likely as you age and costs are only climbing.

Skipping LTC insurance in your 60s and 70s is like riding a motorbike without a helmet in your 20s. In other words, it's an unnecessary risk you could very well regret when it matters most.

Make informed decisions

When it comes to planning for your future, the good news is that you don't have to make complex decisions alone.

As one of the most trusted organizations for older Americans, AARP not only offers money-saving perks, but they can also help you make informed financial and health decisions.

AARP members get access to guides that can help you make the most of Social Security, choose the right Medicare plan and uncover other government benefits — potentially saving you thousands.

The best part? AARP offers discounts on almost everything — from prescriptions and dental plans to travel, entertainment and insurance.

Sign up with AARP today and get 25% off your first year.

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This article provides information only and should not be construed as advice. It is provided without warranty of any kind.