Since the expansion of the Partnership Program, an offshoot of the Deficit Reduction Act of 2005, more residents in Texas have managed to plan their future health care needs via Texas long term care Partnership policies.
Prior to the expansion of the Partnership Program, Texans had to put up with pricey long term care insurance (LTCI) policies. They didn’t have a choice at the time. Some even opted not to purchase any coverage at all for fear that they might not be able to maintain their annual premiums.
So when the Partnership Program was made available in the state many people took it as an answered prayer. Partnership-qualified LTCI policies offer so many features but these do not cost more than non-Partnership policies.
One of the notable offerings of a Partnership LTCI policy is the Medicaid Asset Protection which states that for every dollar that the insured person receives in long term care (LTC) benefits, he gets to keep an equivalent dollar amount of his personal assets. Should the insured decide to apply for Medicaid assisted coverage someday to receive ongoing care that is no longer covered by his policy, he will not be required to comply with the said program’s spend down rule.
Normally, anyone in Texas who wishes to apply for Medicaid’s LTC program has to deplete his assets until it is no more than $2,000. Aside from this requirement he also has to meet the income ceiling that Medicaid has set.
Now, people have the option to delay their application for Medicaid because of Partnership LTCI policies.
Aside from Medicaid Asset Protection, buyers of Partnership qualified LTCI policies can look forward to many other wonderful things.
First of all, they do not have to feel pressured to settle for a very high daily benefit amount that will require them to pay so much in premium because as discussed earlier, should they require ongoing care after having exhausted their benefits they can apply for Medicaid coverage.
Owners of Partnership policies can also enjoy comprehensive coverage. This means that they can acquire care in any type of LTC setting that will suit their health care needs. For instance, at the onset of care they might choose to stay home and avail home health aide and homemaker services. But as their health condition advances to the next level or stage a nursing home might become necessary and they will not have any problem entering this facility because it is also included in their coverage.
Partnership policies also provide mandatory inflation protection that is based on the age of a policyholder. Those who are 60 years old and younger will receive 5% compound annual inflation. Individuals between the 61 and 76 age bracket should acquire some level of inflation protection, while those older than 76 must be offered inflation protection but are not required to buy.
Get more information about the Texas long term care Partnership Program from your trusted LTCI agent or simply go online.