IA Average daily benefit purchased: $ 145 per day.

The state of Iowa’s population is over 3 million people, and as the US Census shows, over 450,000 residents in the Hawkeye State are 65 years or older. That’s over half a million residents and counting in Iowa who will increasingly need and use Long Term Care. If not prepared with Long Term Care Insurance, this rising number of seniors will put increasing economic stress on families and the state of Iowa. In 2011, the total Long Term Care Medicaid expenses alone (not counting additional, private Long Term Care expenses) were over $1.3 billion.

The Iowa Long Term Care Partnership program became effective in January, 2008. This program is a public-private cooperative program
that was designed to help Iowa residents finance their own long term care needs through a private plan, while also protecting their assets if and when their private benefits run out and they need to apply for Medicaid. In other words, the Long Term Care Partnership Program provides dollar-for-dollar asset protection, so that each dollar that a Partnership policy pays out in benefits entitles the policy owner to keep a dollar of their assets if they ever need to apply for Medicaid services. What’s more, people who purchase a partnership policy may qualify for Medicaid early, before spending down all of their assets. Purchasing a Long Term Care insurance policy through the partnership program means you are not only protected by your policy, but also by Medicaid if you ever exceed the benefits of that policy.

When planning for retirement, Long Term Care Insurance is a key component for securing one’s financial future, and in Iowa, residents have the choice of around 17 great Long Term Care Insurance companies that can help protect their savings in the event they need Long Term Care services.

Most Popular Long Term Care Companies in Iowa

  • 1) Genworth
    2) Mutual of Omaha Mutual Care Plus
    3) Mutual of Omaha
    4) Transamerica
    5) Genworth Privileged Choice Flex 2
    6) Mass Mutual, Signature Care MM-5002011
    7) Genworth Privileged Choice Flex
    8) Mutual of Omaha Mutual CarePlus
    9) Genworth Privileged Choice Flex2
    10) Federal LTC Insurance Program v2. 0
    11) Genworth PrivilegedChoice Flex

Most Insured Cities in Iowa

  • 1) Cedar Rapids – last quote: $150/day
    2) Des Moines – last quote: $150/day
    3) Davenport – last quote: $150/day
    4) Marshalltown – last quote: $130/day
    5) Dubuque – last quote: $150/day
    6) West Branch – last quote: $150/day
    7) Urbandale – last quote: $150/day
    8) Mason City – last quote: $150/day
    9) Webster City – last quote: $150/day
    10) Iowa City – last quote: $250/day
    11) Marion – last quote: $150/day
    12) Ankeny – last quote: $150/day
    13) Sioux City – last quote: $100/day
    14) Johnston – last quote: $150/day
    15) Waterloo – last quote: $150/day

More on Iowa

Most people do not like to think about the possibility of needing long-term care. So begins the Iowa Long-Term Care Partnership Program Consumer Guide.  Iowa, like many states, has instituted a program to tackle the problem of lack of Long Term Care Insurance coverage for its residents via a partnership program between private industry and the State.  Iowa’s population is rapidly aging and awareness of the need for Long Term Care Insurance remains low.  Long Term Care Insurance covers the cost of services such as nursing homes, in-home care and assisted-living care when one is unable to care for themselves and is not covered by regular health insurance and only by Medicaid if one qualifies, which can be difficult without exhausting all of your assets.  The Iowa Long Term Care Insurance Partnership Program was developed as a public-private partnership allowing you to pay for long-term care through private insurance and Medicaid, without using all your assets.

A recent study found that 7 in 10 Americans have made no plans for long-term care and many were not even aware of this type of insurance and what it covers.  And, given that the Department of Health and Human Services estimates that 2/3 of all Americans will need long-term care at some point after they pass age 65, this does, indeed, constitute a problem to be reckoned with.  Many Americans, regardless of the State in which they live, are now at risk of having to exhaust their nest egg or rely on their children or other relative to care for them in retirement should they become unable to care for themselves.

Residents of Iowa are able to participate in the Iowa Long Term Care Insurance Partnership Program via a number of policy options that meet certain State-mandated criteria.  The State of Iowa aims to reward those who do their part in solving the problem of Long Term Care Insurance coverage by planning ahead and protecting themselves and their assets.  Basically, it works like this: purchasers of partnership policies are eligible for Medicaid asset protection which provides dollar-for-dollar asset protection. Each dollar that your Partnership policy pays out in benefits entitles you to keep a dollar of your assets if you ever need to apply for Iowa Medicaid long-term care services. Protected assets are not considered in determining Medicaideligibility.  Highlights and requirements of the Partnership Program include: Medicaid asset protection: Only Partnership policies provide this protection.

Tax qualified: All Partnership policies are tax-qualified plans under federal law. This means the premiums can be included as a medical expense if you itemize on your federal income tax return and benefits paid are generally not counted as taxable income. Inflation Protection: For a person who is less than 61 years of age as of the date of purchase, the policy provides either annual compounded inflation protection of not less than 3% or annual compounded inflation protection of not less than a rate based on changes in the consumer price index.

Since nursing home and other long-term care rates increase regularly, inflation protection helps the policy’s daily benefit keep up with long-term care costs. The inflation protection requirements are crucial here.  Inflation protection insures that your policy will pay out in tomorrow’s dollars and that your covered for the care you need. You can start planning today for your future long-term care needs and securing all that you have worked so hard to achieve for your retirement by purchasing a Long Term Care Insurance policy.  LTC Tree can assist you in finding a plan through the Iowa Long Term Care Insurance Partnership Program that is right for you, no matter your age or financial status.  If you would like to learn more about our affordable Long Term Care Insurance policies, simply fill out this form.  Thank you for reading today’s blog.  We really appreciate it.