Annual premiums should probably not exceed 7 percent of gross adjusted income. The premiums can be financed out of income, but many believe it is also sound to utilize assets to pay premiums, thus using assets to protect assets.

A typical comprehensive policy for a 65-year-old could cost from $200 to $300 per month. The same policy would only cost 70% as much at age 55, but 80% more by age 75. This is even before considering that an increased daily benefit may be needed if one waits to buy coverage.

Because of all the previously mentioned variables, the costs are up to the client. He or she should be comfortable both with the premiums and the protection the policy offers. There is no magic formula as to how much protection to buy, as everyone’s needs are different. A good long term care insurance agent is like a good doctor or carpenter. Clients need a trained professional in long term care insurance whose judgment they can trust.