An Important Insurance Coverage You May Not Have Heard of

5 Tax-Efficient Ways to Save Money on Long-Term Care Coverage

Can you cover a multi-hundred-thousand-dollar financial catastrophe? If not, this one’s for you…

Opher Ganel
Financial Strategy
Published in
10 min readJul 25, 2022
Fire destroying building.
Photo by Pixabay from Pexels:

A couple of years ago, a friend asked me if I had long-term-care insurance (LTCI).

Since both of us are self-employed, and closer to 60 than 50, it wasn’t just idle curiosity on his part.

Neither of us has employer-sponsored coverage to help our families cope with the financial fallout if we suddenly lose our ability to provide for a long time (long-term disability insurance), or to cover the exorbitant cost of care if we could no longer take care of ourselves.

Bradley Hilton, Founder, Sonas Financial Planning explains, “LTCI kicks in if you’re unable to take care of at least two of the six so-called Activities of Daily Living (ADL):

  1. “Bathing
  2. “Dressing
  3. “Eating
  4. “Toileting
  5. “Transferring into and out of bed and chairs, and
  6. “Managing incontinence.”

I told my friend that many years ago, my insurance agent recommended all his clients buy a specific LTCI policy. He told us that this policy will shortly double in price.

I decided to follow his advice.

A month later, premiums for that policy indeed doubled as he had predicted.

Over time, many of the policy’s provisions became unavailable at any price. For example, the policy pays out for as long as you qualify, even if it’s for life.

Unfortunately, these days LTCI is expensive and far less generous.

That’s why I asked several financial advisors for their best advice on tax-efficient ways of saving on LTCI If you have to shop for it now.

What Is Long-Term-Care Insurance, Who Should Buy It, and at What Age?

First, what is LTCI, who needs it, and how early should you buy it?



Opher Ganel
Financial Strategy

Consultant | systems engineer | physicist | writer | avid reader | amateur photographer. I write about personal finance from an often contrarian point of view.