According to the U.S. Department of Health and Human Services, almost 70% of people turning 65 will need long-term care during their life. To help with that financial burden, long-term care insurance provides a pre-selected, set daily amount of funds for medical and non-medical care for people with a chronic illness or disability. The money can be used to pay for assistance with a variety of daily living activities, including bathing, dressing and eating. Care can be provided at home by a nurse, therapist or unpaid caregiver (think relative), or at an adult day care center, in a nursing home, etc. The cost of your policy will depend on your age, any optional benefits you may choose, and your health, among other things.
Sources: U.S. Department of Health and Human Services