If you’re close to retirement age, you may not need long-term care services anytime soon — if at all. But that doesn’t mean you should wait to plan for this potential expense. People are living longer, which means many will need some level of support, whether in a long-term care facility or at home with the help of a caregiver.

The longer you delay, the fewer options you’ll have. With several coverage avenues available, the cost of care becomes a major consideration.

In this week’s Retire Wiser with NBC Connecticut, Joel Johnson, CFP® breaks down your options so you can make the most informed decision for yourself and your family.

Option #1: Traditional Long-Term Care Insurance

The most common approach in the past was to purchase a traditional long-term care insurance policy. You pay a premium, and if you need care, the insurance company covers a portion of the cost. While it sounds straightforward, it can be quite expensive, and premiums can rise over time. Additionally, if you never make a claim, you typically don’t receive a payout or a return of those premiums.

Option #2: Hybrid Life/Long-Term Care Insurance

Alternatively, you can potentially get all your money back by purchasing a hybrid life/long-term care insurance policy. If you don’t end up using the long-term care benefits, your family will receive the life insurance payout when you pass away. However, keep in mind that while the premiums are usually fixed, hybrid policies often end up being more expensive than traditional long-term care insurance.

Option #3: Self-Funding for Long-Term Care Costs

If you are unable to obtain an insurance policy, are opposed to it, or decide it’s just not the right financial move, you can set aside your own funds to cover potential long-term care expenses. Another option is to take legal precautions, such as trust planning, to help protect those assets from nursing homes. This way, if you don’t end up needing care, the money can be preserved and ultimately passed on to your heirs.