The Future of Long Term Care
Long Term Care
As care needs grow and costs rise, the future of long-term care (LTC) will be driven by new solutions in technology, public policies, and planning.
With aging populations, increasing costs of care, and caregiver shortages, long term care (LTC) continues to evolve in the U.S. New technologies can help support aging safely at home, government-funding programs can help address increasingly high costs of care, and LTC insurance solutions are adapting to meet changing needs. Staying informed about the developments in LTC can help individuals and families navigate future care needs.
Long Term Care Insurance Provides Options
There are many ways to pay for care when you need it and where you’d like to receive it.
Technology in Long Term Care
New technologies aim to lower the cost of LTC services. For example, one online service connects older adults in need of in-home care services with students in the healthcare field, which enables technology to take over administrative tasks like booking and scheduling, reducing hourly costs of in-home care services by as much as 50%.1
Other technologies aim to supplement caregiving responsibilities and improve quality of life. Remote Patient Monitoring (RPM) allows healthcare teams to access real-time health data collected through wearable technologies. Studies have found RPM can prevent emergency room visits and reduce costs of care.2 As these technologies continue to develop, Artificial Intelligence may be used to manage streams of data and prepare meaningful reports for both clinicians and patients by monitoring pattern changes and flagging concerns before an emergency happens.
Government Funded Programs
Federal funding for LTC in the U.S. primarily relies on Medicaid, but qualifying requires individuals to spend down their assets. In the U.S., Washington State’s WA Cares Fund is the first state-funded LTC benefit program funded through a payroll tax. Benefits are available for up to $36,500 in LTC services.
Other states are watching Washington’s program with interest. Notably, New York has proposed a bill that would establish the New York Long Term Care Trust Program, similarly funded by a payroll tax.
New Insurance Solutions
Insurers have recognized the growing need and have responded with innovative policies and features.
- Hybrid LTC insurance: In recent years, hybrid products have become more popular than traditional LTC insurance4, as they address common concerns about buying coverage and never needing LTC. With a traditional LTC policy, premiums could be paid for years with no claims and no benefit payments. Hybrid products combine life insurance and LTC benefits, so even if LTC is never needed, beneficiaries can receive a financial payout.
- Features designed to support caregivers: As the demand for LTC increases, more families are taking on caregiving responsibilities. Many LTC insurers have begun to include features, such as respite care benefits, to provide temporary relief and reduce caregiver burnout.
As LTC continues to evolve, new opportunities and considerations for individuals and families emerge. Talk with an Advisor to develop a plan that aligns with your goals, needs, and budget.
1 Can Technology Make Home Care Services More Affordable? Center for Retirement Research at Boston College. crr.bc.edu/can-technology-make-home-care-services-more-affordable, May 7, 2026.
2 Remote Patient Monitoring for Senior Living has collected a lot of data. Remote Care Partners. www.remotecarepartners.com/remote-patient-monitoring-for-senior-living-has-collected-a-lot-of-data-now-healthcare-orgs-have-to-figure-out-what-to-do-with-it, January 12, 2026.
3 How the Fund Works. WA Cares Fund. wacaresfund.wa.gov/how-it-works#care-need-requirement
4 This Isn’t Your Parents’ Long-Term Care Insurance. AARP. www.aarp.org/money/personal-finance/hybrid-ltc-life-insurance, March 18, 2026.
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