California retirees face some of the highest long-term care costs in the USA. Nursing homes, assisted living facilities, and in-home care services in California often cost 20–30% more than the national average. Without proper coverage, these costs can quickly erode retirement savings and put financial pressure on loved ones.
This is why long-term care insurance (LTCI) is so important for retirees in California. LTCI provides financial protection when you need help with daily living activities or require extended nursing care due to illness, disability, or age-related conditions.
In this guide, we highlight the 10 best affordable long-term care insurance plans for retirees in California. We’ll explain coverage details, premiums, and benefits, along with California-specific tips to secure the right plan for your retirement needs.
Why Retirees in California Need Long-Term Care Insurance
California’s cost of living and healthcare expenses are higher than most other states, making LTCI even more crucial:
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Higher care costs: The median monthly cost of a private nursing home room in California is over $11,000, compared to around $9,000 nationally.
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Medicare limits: Medicare only covers short-term rehabilitation, not extended care.
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Protect retirement savings: LTCI helps avoid draining 401(k)s, pensions, or home equity.
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Access to quality care: Policies allow you to choose preferred nursing homes, assisted living facilities, or in-home care services.
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Peace of mind: You won’t have to rely on family members to cover your care needs.
What to Look for in California Long-Term Care Insurance
Before buying a policy, consider these key features:
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Premium affordability: Policies should fit your retirement budget.
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Daily or monthly benefit amount: California care costs are higher, so aim for at least $150–$300 per day in benefits.
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Benefit period: Choose how long coverage lasts (2–6 years or lifetime).
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Inflation protection: Because care costs rise quickly, inflation riders are vital.
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Elimination (waiting) period: This is how long you wait before benefits start; longer periods reduce premiums.
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Insurer’s reputation: Select companies with strong ratings and California-specific experience.
Summary Table: 10 Affordable Long-Term Care Insurance Plans for Retirees in California
| Insurance Company | Average Monthly Premium (CA, Age 60–70) | Daily Benefit Amount | Benefit Period Options | Key Features |
|---|---|---|---|---|
| Mutual of Omaha | $125–$250 | $150–$300 | 2–5 years, lifetime | Inflation protection, couples’ discounts |
| New York Life | $135–$270 | $175–$350 | 3–5 years, lifetime | Cash value options, hybrid policies |
| Northwestern Mutual | $130–$260 | $150–$325 | 2–6 years | Strong financial ratings, shared care riders |
| Genworth Financial | $115–$240 | $125–$300 | 2–5 years | Affordable premiums, flexible elimination periods |
| Transamerica | $110–$230 | $125–$275 | 2–5 years | Low-cost options, inflation riders |
| MassMutual | $125–$255 | $150–$325 | 2–5 years, lifetime | Hybrid life + LTC plans, strong dividend history |
| Thrivent Financial | $105–$210 | $125–$275 | 2–5 years | Competitive premiums, Christian-based membership benefits |
| Nationwide | $130–$265 | $150–$350 | 3–6 years | Hybrid policies, cash indemnity options |
| Brighthouse Financial | $115–$235 | $125–$300 | 2–5 years | Simplified underwriting, affordable hybrid coverage |
| Lincoln Financial Group | $130–$260 | $150–$325 | 2–6 years | Hybrid life insurance + LTC benefits |
Premiums are based on California retirees aged 60–70 and may vary by health, gender, and exact coverage options.
Detailed Reviews: 10 Affordable Long-Term Care Insurance Plans in California
1. Mutual of Omaha
Mutual of Omaha is one of the best LTCI providers in California due to its flexible policies and strong reputation.
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Premiums: $125–$250 per month (age 60–70).
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Coverage: Daily benefits of $150–$300.
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Benefit period: 2–5 years or lifetime coverage.
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Why it’s great: Couples’ discounts, optional inflation protection, and no California-specific surcharges.
2. New York Life
New York Life offers hybrid and traditional LTCI plans with excellent financial strength.
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Premiums: $135–$270 monthly.
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Coverage: Daily benefit amounts of $175–$350.
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Benefit period: 3–5 years or lifetime.
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Highlights: Cash value accumulation, flexible riders, and strong claim reputation.
3. Northwestern Mutual
Northwestern Mutual provides strong policies tailored for California retirees.
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Premiums: $130–$260 per month.
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Coverage: Daily benefits of $150–$325.
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Benefit period: 2–6 years.
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Features: Shared care options for couples, inflation protection, and highly rated customer service.
4. Genworth Financial
Genworth has some of the most affordable long-term care premiums in California.
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Premiums: $115–$240 monthly.
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Coverage: Daily benefits from $125–$300.
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Benefit period: 2–5 years.
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Why choose it: Competitive prices, strong care coordination services, and flexible elimination periods.
5. Transamerica
Transamerica is known for cost-effective plans and multiple discount options.
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Premiums: $110–$230 per month.
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Coverage: Daily benefit amounts of $125–$275.
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Benefit period: 2–5 years.
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Advantages: Inflation protection riders and discounts for non-smokers and couples.
6. MassMutual
MassMutual combines traditional LTCI with hybrid life + LTC options.
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Premiums: $125–$255 monthly.
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Coverage: Daily benefits of $150–$325.
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Benefit period: 2–5 years or lifetime.
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Why it’s great: Dividend options and excellent financial stability.
7. Thrivent Financial
Thrivent is a nonprofit provider offering competitive LTCI rates.
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Premiums: $105–$210 monthly.
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Coverage: Daily benefit amounts of $125–$275.
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Benefit period: 2–5 years.
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Unique feature: Membership benefits include financial counseling and grants.
8. Nationwide
Nationwide offers hybrid policies combining life insurance and LTC benefits.
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Premiums: $130–$265 per month.
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Coverage: Daily benefit amounts of $150–$350.
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Benefit period: 3–6 years.
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Why it’s ideal: Cash indemnity options and hybrid policy flexibility.
9. Brighthouse Financial
Brighthouse Financial focuses on hybrid life + LTC plans with simplified underwriting.
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Premiums: $115–$235 monthly.
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Coverage: Daily benefits of $125–$300.
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Benefit period: 2–5 years.
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Advantages: Affordable hybrid coverage and lower medical requirements.
10. Lincoln Financial Group
Lincoln Financial Group provides high-quality hybrid LTC policies for California retirees.
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Premiums: $130–$260 monthly.
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Coverage: Daily benefits from $150–$325.
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Benefit period: 2–6 years.
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Key features: Cash indemnity benefits and flexible premium payment schedules.
Tips for Finding Affordable Long-Term Care Insurance in California
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Apply as early as possible: Premiums increase sharply after age 65.
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Compare multiple companies: Prices and benefits vary significantly in California.
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Consider inflation protection: Care costs in California rise faster than the national average.
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Select the right elimination period: Longer waiting periods reduce premiums.
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Ask about discounts: Couples and non-smokers receive lower rates.
FAQs: Long-Term Care Insurance for Retirees in California
1. How much does long-term care cost in California?
The average monthly cost of a private nursing home room in California is about $11,000, one of the highest in the USA.
2. Does Medicare cover long-term care?
No, Medicare only covers short-term rehabilitation and limited skilled nursing, not ongoing care.
3. What is the average premium for LTCI in California?
Premiums typically range from $105–$270 per month for retirees aged 60–70.
4. Is inflation protection necessary in California?
Yes, because care costs rise quickly in the state, inflation riders are recommended.
5. Can I buy hybrid life + LTC plans?
Yes, companies like New York Life, Nationwide, and Lincoln Financial Group offer hybrid options.
6. Can retirees over 70 still get LTCI in California?
Yes, but premiums will be much higher, and medical underwriting may be required.
7. Are premiums tax-deductible?
In many cases, LTCI premiums qualify for a tax deduction based on IRS limits.
8. What is the elimination period?
This is the waiting period (30–90 days on average) before benefits begin.
9. Which companies are best for couples?
Mutual of Omaha, Northwestern Mutual, and Transamerica offer strong couples’ discounts.
10. What happens if I never use my policy?
Hybrid plans allow the premiums to be returned as a life insurance death benefit.
Conclusion
California retirees face some of the highest long-term care costs in the nation, making LTCI a crucial part of financial planning. The 10 affordable long-term care insurance plans in this guide—from trusted companies like Mutual of Omaha, New York Life, and Lincoln Financial—provide options to protect your savings and ensure access to quality care.
If you live in California and are over 55, start comparing quotes today. Acting early allows you to lock in lower premiums and secure the right coverage for your retirement years.