Is a California Long Term Care Partnership Insurance Policy Right for You?

Is a California Long Term Care Partnership Insurance Policy Right for You?

California Partnership for Long Term Care Insurance Protect your assets from MediCaid spend-down and/or estate recovery requirements Is a California Long Term Care Partnership Insurance Policy Right for You? Note: This blog is intended primarily for California residents. The majority of individuals are under the impression that any future long term care (LTC) expenses they may incur will be covered by Medicare once they are eligible for this government program. Unfortunately, that is not the case. Medicare provides only limited coverage for the first 100 days of skilled care in a nursing home, so long as you meet their qualifying conditions. It doesn’t cover “custodial care” like what you would receive in your home. In addition, neither Medicare supplement (Medigap) insurance nor Medicare Advantage plans provide any significant degree of coverage for long term care. The reality is that 70% of individuals who make it to the current retirement age (assumed for this blog to be 65) will require long term care services at some point, and Medicare is not a solution. What about Medi-Cal? Medi-Cal is California’s version of Medicaid, a government funded program that provides health services to the very poor. In order to qualify for any benefits under Medi-Cal, you are required to first exhaust your assets to below poverty levels. This can be devastating to individuals who wish to maintain any decent standard of living for their surviving spouse/partner and/or leave an estate for his/her family. Let’s focus in on Medi-Cal and Long Term Care Insurance So is there a solution where you can protect some of your assets (above the program’s minimum levels) from having...