Texas Long Term Care Insurance
Learn about Texas long term care insurance. Get expert guidance and free quotes from LTC Tree.
A skilled-nursing stay in Texas routinely runs into six figures per year, and Medicaid — the nation's largest payer of long-term services and supports — only steps in after an applicant has spent down nearly all countable assets. That math is why most Texans planning ahead look at private long-term care insurance before a crisis forces a Medicaid application.
Texas has roughly 31 million residents, with more than 4 million aged 65 or older and the senior share of the population growing faster than the state total, according to the U.S. Census Bureau. That demographic curve is already pushing demand for nursing facility, assisted-living, and home- and community-based services higher.
What Long-Term Care Costs in Texas
Published state-level nursing-home rates come largely from private industry surveys that this page does not cite. Two government sources give Texans reliable, current numbers:
- Medicare.gov Care Compare lists every Medicare- and Medicaid-certified Texas nursing home with staffing levels, inspection results, and star ratings — the starting point for any facility shortlist.
- Texas Health and Human Services Commission publishes Medicaid nursing-facility daily reimbursement rates, which function as a conservative floor for what facilities charge privately.
As a national anchor: the U.S. Department of Health and Human Services estimates that about 70% of Americans turning 65 will need some form of long-term care during their lifetimes. Home health aide and assisted-living costs in Texas generally run below skilled-nursing rates, but total outlays scale quickly once care is needed daily for months or years.
Data as of 2025.
Paying for Long-Term Care in Texas
Medicaid through STAR+PLUS. Texas delivers Medicaid long-term services and supports for most seniors and adults with disabilities through STAR+PLUS, a statewide managed-care program administered by the Texas Health and Human Services Commission (HHSC). STAR+PLUS covers nursing-facility care and, through its Home and Community Based Services (HCBS) component, allows qualifying members to receive care at home or in an assisted-living setting instead.
Asset and income limits. Texas Medicaid for the aged and disabled follows the federal SSI-linked framework: a single applicant generally must have no more than $2,000 in countable assets, with higher community-spouse resource allowances for married couples. The primary residence (up to the federal home-equity cap), one vehicle, and certain irrevocable funeral arrangements are typically exempt. Current figures are published by HHSC.
Texas Long-Term Care Partnership program. Texas runs an active Long-Term Care Partnership program, authorized under the Texas Human Resources Code. Partnership-qualified policies provide a dollar-for-dollar asset disregard: each dollar a Partnership policy pays in benefits protects a dollar of the policyholder's countable assets if they later apply for Medicaid. Partnership status also requires inflation protection for applicants under age 76.
Local help. Free guidance is available from the Texas Area Agencies on Aging / Aging and Disability Resource Centers network and from the Texas State Long-Term Care Ombudsman, both housed at HHSC. For Medicaid LTSS, STAR+PLUS, and Partnership specifics, see the Texas Health and Human Services Commission.
Long-Term Care Insurance Options for Texas Residents
Over the last decade several household-name carriers — including Genworth, John Hancock, MetLife, Prudential, Transamerica, and MassMutual — stopped issuing new stand-alone individual LTC policies in Texas and nationwide. What remains for Texans splits into two categories:
- Traditional stand-alone LTC policies, still filed by a small group of carriers.
- Hybrid life-and-LTC or annuity-and-LTC policies, which build LTC benefits onto a life insurance or annuity chassis and pay a death benefit if long-term care is never needed.
Rather than publish a carrier list that can go stale between filings, we direct Texas readers to the company and product search at the Texas Department of Insurance. TDI also publishes Texas-specific LTC consumer guides and complaint data you can review before you apply.
What Drives Your Texas LTC Premium
Because Texas private-pay nursing rates sit close to the U.S. median, the biggest single premium lever is the daily or monthly benefit amount you select — enough to cover a reasonable share of local private-pay costs without overbuying. Other levers:
- Age at application (premiums rise sharply past the mid-60s)
- Underwriting health class
- Benefit period and elimination period
- Inflation protection (required for Texas Partnership status under age 76)
- Shared-care or spousal/partner discounts
- Carrier chassis (traditional vs. hybrid)
Use the quote form above to see what a Partnership-qualified policy would cost at your age and health today.
Tax Benefits for Texas Residents
State tax treatment. Texas has no state individual income tax, so no state-level deduction or credit applies to long-term care insurance premiums.
Federal tax treatment. Premiums for federally tax-qualified long-term care policies count as medical expenses, subject to age-based annual caps set by the IRS. For 2025, per IRS Rev. Proc. 2024-40 (Section 3.24), the eligible-premium limits are:
| Age at End of Tax Year | 2025 Eligible Premium Limit |
|---|---|
| 40 or under | $480 |
| 41 through 50 | $900 |
| 51 through 60 | $1,800 |
| 61 through 70 | $4,810 |
| 71 and older | $6,020 |
Benefits paid by a tax-qualified LTC policy are generally received income-tax-free up to federal per-diem limits.
Next Step
Because Texas pairs a large private long-term care market with an active Partnership program, a Partnership-qualified policy is usually the most efficient way for Texans to protect savings from a future Medicaid spend-down. The fastest next step is a side-by-side comparison from the carriers currently filed in Texas — use the quote form above.
Disclaimer
This page is educational and general in nature, not a solicitation or offer of a specific insurance product, and not tax or legal advice. Long-term care insurance availability, pricing, and underwriting vary by carrier, state, and applicant. For personalized guidance, contact a licensed specialist. For current authorized carriers in Texas, consult the Texas Department of Insurance.
Texas Long Term Care Insurance FAQs
How much does long term care insurance cost in Texas?
Premiums in Texas depend on age at application, health, benefit amount, and inflation protection. Most Texas residents pay between $1,500 and $4,500 per year for a comprehensive policy, and the cost is locked in when you apply. Applying earlier and in better health typically results in the lowest Texas LTC insurance rates.
Does Texas have a Long Term Care Partnership program?
Most states including Texas participate in the federal/state Long Term Care Partnership program. A Partnership-qualified policy in Texas lets you protect assets equal to the benefits your policy pays out if you ever need to apply for Medicaid, on top of the usual Medicaid asset limits. Ask your specialist whether a given carrier's policy is Partnership-certified in Texas.
What does long term care insurance cover in Texas?
A Texas long term care policy typically reimburses the cost of care you receive when you cannot perform at least two activities of daily living, or when you have a cognitive impairment such as Alzheimer's. Covered care settings generally include home health care, adult daycare, assisted living, memory care, and skilled nursing facilities located in Texas or anywhere in the U.S.
When should I buy long term care insurance in Texas?
Most Texas residents who buy LTC insurance do so in their mid-50s to mid-60s, before rates rise sharply and before health conditions make coverage harder to qualify for. Buying earlier locks in lower premiums for life, while waiting risks higher costs or being declined outright.
Is long term care insurance tax deductible in Texas?
Yes — premiums for qualified long term care insurance policies are deductible as medical expenses on your federal return, up to IRS age-based limits that are indexed annually. Texas may offer additional state tax credits or deductions for LTC premiums; your LTC Tree specialist can confirm the current rules that apply to residents of Texas.
Which carriers offer long term care insurance in Texas?
LTC Tree is an independent broker and shops every major carrier licensed in Texas, including Mutual of Omaha, Nationwide, Securian, National Guardian Life, OneAmerica, Thrivent, Lincoln Financial, and others. Each Texas applicant's situation is different — we run rates across carriers and present the best fit for your age, health, and budget.