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70% of people over 65 will need some form of long-term care in their lifetime. Planning ahead can make a big difference, whether it’s home care, assisted living, or nursing home care. In this guide, we’ll dive into key long-term care statistics and trends shaping the future of senior care.
Key Insights
70% of people over 65 will need some form of long-term care in their lifetime.
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38% of people aged 65–69 were denied coverage in 2021 due to health issues.
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Only 7 million Americans had long-term care insurance as of 2023.
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Of the 3.9 million Americans in skilled nursing facilities, 78% stayed for 100 days or more.
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84% of nursing homes face senior staff shortages, and 96% struggle to hire more staff.
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What is Long-Term Care?
Long-term care includes services that help people with daily activities when they can no longer manage on their own. This could be due to aging, illness, or disability. Care can be provided at home by family members or professional caregivers or in facilities like assisted living centers and nursing homes.
Around 70% of people who turn 65 today will need some form of long-term care at some point in their lives, often due to challenges with activities of daily living.
For some older people, the need for long-term care arises suddenly due to a health crisis. For others, it happens gradually as health declines with age, influenced by life expectancy trends.
Key Long-Term Care Statistics in the U.S.
Long-term care is a vital part of the healthcare system, supporting millions of individuals across the U.S. Below is a breakdown of key statistics to help you better understand the scope of long-term care services, facility types, and demographic trends.
- Around 38% of people aged 65–69 were denied coverage in 2021 due to health issues, with even higher rejection rates for those in their 70s
- The U.S. has nearly 1 million licensed assisted living beds, with an average of 33 beds per facility.
- More than 800,000 people reside in assisted living facilities nationwide.
- Of the 3.9 million Americans receiving care in skilled nursing facilities, 78% stayed for 100 days or more.
- 84% of nursing homes face senior staff shortages, and 96% struggle to hire more staff.
The Rising Cost of Long-Term Care in the U.S.
Long-term care (LTC) expenses continue to increase across the U.S., making affordability a growing concern for families. Whether it’s home care, assisted living, or nursing facilities, costs have risen due to inflation, workforce shortages, and growing demand.
According to Genworth’s 2023 Cost of Care Survey, here’s the national median annual cost for different long-term care services:
Long-Term Care Demographics
The population in long-term care facilities is diverse, but aging and gender trends stand out.
- Age Breakdown of Residents (2025):
- 16.9% were younger than 65.
- 46.7% were between 65 and 84 years old.
- 36.4% were 85 and older.
- Gender Breakdown:
- 67% of residents were female.
- 33% were male.
- Racial Demographics:
- 89% were non-Hispanic white.
- 6% were non-Hispanic Black.
- 5% belonged to other racial or ethnic groups.
Long-Term Care Insurance Statistics
Long-term care insurance is designed to help cover the costs of extended care services, such as home care, assisted living, and nursing homes. However, not everyone purchases or utilizes it, largely due to cost, eligibility requirements, and misconceptions about coverage, as highlighted in recent care surveys. Many people assume Medicare or standard health insurance will cover long-term care, but that’s rarely the case.
How Many Americans Have Long-Term Care Insurance?
As of 2023, approximately 7 million Americans hold some form of long-term care insurance. While this might sound like a large number, it represents only a small fraction of the U.S. population.
Given that nearly 70% of people over 65 will need long-term care at some point, the majority will rely on personal savings, Medicaid, or unpaid family caregivers to cover their care needs.
What Percentage of People Actually Use Long-Term Care Insurance?
The likelihood of using long-term care insurance depends on the policy’s elimination period:
- If a person buys a policy at age 60 with a 0-day elimination period, they have a 50% chance of using it before they die.
- If they opt for a 90-day elimination period, the chances drop to 35%, meaning 65% will never use their benefits.
Factors Affecting Insurance Claims and Approval Rates
Several factors influence whether a long-term care insurance claim is approved:
- Elimination period: Policies with longer waiting periods result in fewer claims, as policyholders must cover initial costs out of pocket.
- Policy lapse: If premiums are not maintained, coverage is lost, preventing future claims.
- Health improvements: Some older adults, particularly those with Alzheimer’s disease, may recover before meeting benefit requirements, reducing the need for payouts.
- Strict eligibility criteria: Insurers may deny claims if policyholders don’t meet specific medical or functional impairment thresholds.
Top States for Long-Term Care Insurance Coverage
Long-term care insurance adoption varies significantly by state, with some regions seeing higher enrollment rates due to population size, aging demographics, and increased awareness of long-term care needs.
Here’s how many people have long-term care insurance in the top 10 states with the highest number of policyholders as of 2020.
Bottom Line
Long-term care isn’t a distant concern. It’s a reality for 7 out of 10 people over 65. Yet, only 7.5 million people have long-term care insurance, meaning most will rely on personal savings, family, or Medicaid to cover costs. Even for those insured, only 35% of policyholders with a 90-day elimination period end up using their benefits. Demand continues to grow as more seniors require care
About 38% of people aged 65–69 were denied coverage in 2021 due to health issues . Even more applicants in their 70s are rejected, which is why experts recommend buying coverage between ages 55 and 65.
Knowing the numbers can help you make smarter choices about care planning, life insurance, and type of care, whether you’re planning for yourself or a loved one. Because when the time comes, being prepared is not only helpful, it’s essential.
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Sources
- National Institute on Aging. What is Long-Term Care? National Institute on Aging. Evaluated March 6, 2025.
Link Here - SingleCare Team. Long-Term Care Statistics. SingleCare. Evaluated March 6, 2025.
Link Here - American Association for Long-Term Care Insurance. LTC Facts 2020. American Association for Long-Term Care Insurance. Evaluated March 6, 2025.
Link Here - American Association for Long-Term Care Insurance. Probability of Needing Long-Term Care. Evaluated March 6, 2025.
Link Here - Genworth. Cost of Care Survey Results for 2023.
Link Here - Genworth. 2023 Cost of Care Survey Report.
Link Here - AHIP. Long-Term Care Insurance Covers Over 7 Million People Nationwide.
Link Here - The Senior List. Nursing Home Statistics.
Link Here - CDC. National Center for Health Statistics Report.
Link Here - Morningstar. 100 Must-Know Statistics About Long-Term Care (2023 Edition).
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