Vermont long-term care insurance: cost & coverage

Who regulates long-term care insurance in Vermont

Long-term care insurance policies sold in Vermont are regulated by the Vermont Department of Financial Regulation. If you have a complaint about an agent, carrier, or policy, you can file it with the regulator directly.

What long-term care costs in Vermont

Median assisted living cost in Vermont vs. the national median:

Source: SeniorLiving.org median assisted living costs, 2026. See costs for all 50 states for the full table.

What each type of care costs in Vermont

Assisted living is only one of the settings people use. Median monthly costs across the main care types in Vermont:

Source: SeniorLiving.org Cost of Care Research (2026)

Vermont's LTC Partnership program

Vermont does not currently have an active LTC Partnership program. Vermont adopted DRA/NAIC-compliant partnership rules but has not filed the required Medicaid state plan amendment with CMS, so the program is not yet active.

Without a Partnership-qualified policy, benefits paid out don't create extra Medicaid asset protection. Learn more about how Partnership programs work and which states currently have one.

How Vermont treats LTC premiums at tax time

Vermont gives long-term care insurance premiums no credit or deduction of their own, but if you itemize federally and claim medical expenses on Schedule A — which can include LTC premiums up to the IRS's age-based limits — Vermont's Medical Deduction, in effect since tax year 2019 under 32 V.S.A. § 5811(21)(C), lets you claim that same federal medical-expense amount on your Vermont return, reduced by your Vermont standard deduction and personal exemptions. Taking Vermont's standard deduction instead of itemizing federally means this deduction is not available to you.

Source: Vermont Department of Taxes (2025)

This is general information, not tax advice. Confirm your own situation with a tax professional licensed in Vermont.

Medicaid long-term care in Vermont

Vermont's Long-Term Care Medicaid program — which includes Choices for Care — pays for services at home, in an approved residential care or assisted-living setting, or in a nursing home for people who meet both financial and clinical criteria. The Department of Vermont Health Access decides financial eligibility (Medicaid's income and countable-asset limits), while the Department of Disabilities, Aging and Independent Living decides whether you need nursing-home level of care. Applicants must be Vermont residents at least 65, or at least 18 with a qualifying physical disability, and apply using the 202LTC application form.

Source: Department of Vermont Health Access (2026)

How to compare quotes in Vermont

• Confirm any agent or carrier you talk to is currently licensed to sell in Vermont — the Vermont Department of Financial Regulation can confirm licensing status.
• Ask which products a carrier is actively writing in Vermont today — availability changes state by state and year to year. See carriers we compare.
• Compare traditional and hybrid options side by side — see traditional vs. hybrid coverage.
• Get quotes from more than one carrier; pricing for the same coverage can vary significantly.

Please note: Regulator names, complaint channels, and Partnership-program status can change. Confirm current details with the Vermont Department of Financial Regulation or a licensed agent before making any decision. LongTermCareInsurance411 is not a government agency and does not administer Vermont's insurance regulations or Medicaid program.

Last updated: August 22, 2026