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Long Term Care

Long Term Care Insurance is an insurance policy that provides coverage for daily health and social services expenses incurred when confined to a nursing home facility or for receiving such care provided under the supervision of medical professionals in some other approved setting.

What are the Chances You Will Need Long Term Care?

According to recent studies nearly half of all people over the age of 65 in the United States will enter a nursing home in the future.

Does Medicare Cover a Large Portion of the Expenses?

Medicare actually covers less than 2% of expenses. The patient or his or her family paid over half of the costs associated with Long Term Care.

Can Medicaid Pay for Long Term Care?

Medicaid as you know is a welfare program funded by the government. It was enacted to aid the truly impoverished. Each state has the responsibility of determining eligibility for benefits. Your assets and income are the determinants. Most states use a total asset base of much less than $100,000 to determine eligibility. Gifting of assets to heirs or others seems a likely solution to qualification but the OBRA 93 ACT provided that gifts of assets within 36 months could delay qualification. Gifts to trusts for up to 60 months could also delay eligibility. Provisions of OBRA 93 also allow states to recover from a persons estate the payments made by Medicaid. If Medicaid is the only solution you have to cover Long Term Care you should contact the local welfare office.

How Can You Minimize the Effects On Your Estate?

One strategy to minimize the effects of long term care expenses on your estate is to purchase a long term care insurance policy. Many reputable insurance carriers now offer comprehensive and affordable long term care insurance policies. The Federal Government has also recently launched its own program for eligible members. If you're not sure whether you could qualify for or afford a long term care insurance policy then you should at least find out.

Please feel free to contact us with any questions or request a quote using the links on our site.