There are several reasons for buying long term care insurance, rather than self-funding or using Equity Release
Preservation of capital
Paying for care out of capital is an open-ended commitment that could leave little or nothing for your children to inherit
You could run out of capital and income. Long term care insurance is not cheap.
To protect your partner
State aid means testing assumes any income is joint between husband and wife/ partners. So these payments may mean the partner is short of cash.
To have a choice
You can decide when, if and where you go.
Reasons for not buying long term care insurance
Protecting your capital is fine, but insurers retain the right to ask for more money if the amount will not cover care home costs. Some insurers reserve the right to increase premiums
In recent years, some insurers have offered existing customers a stark choice of paying drastically higher premiums or seeing their benefits cut dramatically
Insurers will pay up to an agreed limit, they rarely agree to ensure they their payout will cover the full costs of care
Some insurers do not offer as free choice of what home you can go to.
Some insurers will not pay for care in your own home, even when a doctor says you will benefit mentally and physically from being in your own home, rather than a care or nursing home.
Get a quote
For online quotes and costs on UK long term care plans, use our Get A Quote section
, or for enquiries about long term care plans, complete our enquiry form