TDCI recognizes Long-Term Care Awareness Month

The Tennessee Department of Commerce & Insurance is recognizing November as national Long-Term Care Awareness Month by encouraging consumers to learn more about the importance of long-term care planning today.

As Americans live longer, they will face greater needs and an increased incidence of chronic illness and disabilities, such as diabetes, cancer, heart disease, and other conditions that require medical assistance, a press release from TCDI said.

According to recent figures from the U.S. Department of Health and Human Services, someone turning age 65 today has almost a 70% chance of needing some type of long-term care services and supports in their remaining years.

By 2030, one in five residents in the U.S. will be 65 or older, and the number of those in need of long-term support services in the U.S. (which is estimated at 14 million today) is expected to grow to 27 million by 2050, the press release said.

While long-term support services can be found in at-home or community-based settings or in facilities, such as nursing homes, those services come with ever-increasing costs.

In 2024, figures show that the annual median cost of a semi-private room in a skilled nursing facility increased 7%, from $104,028 to $111,325, while the cost of a private room rose 9%, from about $116,800 to $127,750. Roughly 17% of Americans will spend over $100,000 on long-term support services. Almost 9% will spend over $250,000 on long-term care, the press release said.

A long-term care insurance policy can offset the financial burden of future care that is not covered by Medicaid or Medicare. According to a recent industry estimate, long-term care insurance claims have risen by more than 80% since 2015, reaching approximately $17 billion in 2024, the press release noted.

"During the upcoming holiday season, I want to encourage Tennesseans to have a conversation with their loved ones about the importance of long-term care and making plans today for future needs," said TDCI Commissioner Carter Lawrence. "I encourage Tennesseans who might have questions about their insurance coverage to contact my team today for assistance."

TDCI recommends meeting with a licensed Tennessee insurance agent or broker to discuss the long-term care insurance options available to consumers.

Tennessee insurance consumers can use TDCI's database of insurance agents and brokers at sbs.naic.org/solar-external-lookup to verify that an individual or company is properly licensed to sell insurance products in Tennessee.

To help consumers, consider the pros and cons of long-term care insurance.

Standalone long-term care insurance pros:

Your long-term care expenses may be covered up to your coverage cap.This insurance may cover costs associated with aging in place.You may be able to add riders for inflation protection, spousal coverage, and more

Standalone long-term care insurance cons:

You may not need long-term care.The types of care covered may be limited, so it's important to ask questions about the types of coverage available.Premiums can increase over time.

Families who experience a claim denial, claim delay, or settlement disagreement can file a complaint at tn.gov/insurance, under "File A Complaint."

Call 1-800-342-4029 or 615-741-2218 for insurance questions or more information.

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