The bill for growing old just got steeper.
Long-term care insurance premiums are rising again in 2025, and the increases are landing hardest on the people who bought policies years ago expecting their rates to stay put.
A 65-year-old couple can now expect to pay roughly $200,000 in total premiums for a standard policy covering about $165,000 in future benefits, according to industry data.
A single man at that age faces about $50,000 in lifetime premiums, while a woman pays closer to $90,000 — she lives longer, so insurers charge more.
Those numbers assume you're healthy enough to qualify.
Roughly a quarter of applicants over 65 get rejected outright or quoted a higher "rated" price, often because of diabetes, a prior stroke, or even a treated cancer diagnosis from years back.
The bigger shock is happening on policies people already own.
Major carriers including John Hancock and Genworth have won state approvals for double-digit rate hikes on older blocks of business, with some increases topping 50 percent in a single notice.
The letters usually arrive with little warning and a deadline to respond.
Insurers priced these policies decades ago using assumptions that fell apart.
People are living longer than expected, nursing home and home-health costs are rising 3 to 6 percent a year, and low interest rates through the 2010s gutted the investment returns insurers counted on to fund claims.
Meanwhile, the actual cost of care keeps climbing.
A private room in a nursing home now averages over $120,000 a year nationally, and a home health aide runs about $35 an hour.
Medicaid only kicks in after you've spent down most of your assets.
That leaves families with three unappealing options: pay out of pocket, burn through savings until Medicaid qualifies, or lean on unpaid family caregivers — a route that costs Americans an estimated $600 billion a year in lost wages and retirement savings.
So what can you actually do if a rate hike letter shows up?
Dropping a policy after years of payments means walking away from everything you've put in.
Ask about reducing your daily benefit, shortening the benefit period, or dropping inflation protection.
Each cut lowers the premium but also lowers what you'd collect later.
Some states let you keep a smaller "paid-up" policy at your current premium level.
If you're still shopping, compare quotes from at least three carriers and ask specifically about rate-hike history in your state.
A policy from a company with a long record of increases may cost you far more than the sticker price suggests.
Also check whether your state offers a Partnership policy, which lets you protect some assets and still qualify for Medicaid.
One more move worth considering: a hybrid policy that combines life insurance with a long-term care rider.
You pay a lump sum or fixed premiums, and if you never need care, your heirs get a death benefit.
It's not cheap, but the pricing is locked in.
Our take: long-term care insurance still makes sense for some households, but it is no longer a set-it-and-forget-it purchase.
Final Thoughts
Treat any policy as a living cost you'll need to revisit every few years, and build a backup plan — savings, family agreements, or a hybrid product — before a rate-hike letter forces the decision for you.