Without an inflation rider, the benefits provided by your policy could be completely inadequate by the time you actually need them. But inflation protection is not cheap. In fact, adding this coverage normally increases your premiums by at least 40 percent, and in some cases it can double the premiums. After the applicable time limit has been reached, no further benefits are paid. Lifetime benefits are also available, but as you would probably expect, LTCI premiums are higher for policies with longer benefit periods.
Some policies have different benefit periods for different types of care.
For example, a policy might offer five years of nursing home coverage and two years of assisted living coverage. Pooled benefits policies do not have specific benefit periods at all, but instead place a lifetime limit on the dollar amount of benefits you can receive. Choosing the right benefit period Most insurance companies offer several options for benefit periods. To decide the length that's right for you, you'll need to analyze the likelihood of an extended need for home care or a stay in a nursing home. If not, a lifetime benefit is probably not advisable, because the drastic increase in premiums would not be warranted.