Insurance
Total care cost
The full bill for the expected period of care.
The Formula
Total cost = daily rate x 365 x years of care
The full bill for the expected period of care.
| Symbol | Meaning | Unit | Notes |
|---|---|---|---|
| d | Daily rate | currency | Cost of care per day. |
| y | Years of care | years | Expected years needing care. |
What Each Symbol Means
dcurrency
Daily rate
Cost of care per day.
yyears
Years of care
Expected years needing care.
See It Worked With Real Numbers
A formula on its own does not tell you which number goes where. The how to calculate long term care insurance page applies this equation to a concrete case, shows every intermediate step, and names the mistakes that produce a wrong answer even when the algebra is right.
Where This Formula Appears
This equation is the working core of How To Calculate Long Term Care Insurance, filed under Finance. Every number the guide produces comes from substituting into this one line.