More on Ohio
Ohio, like many states, has developed an innovative solution to the crisis of lack of Long Term Care Insurance coverage for its residents. The “crisis” in long-term care is a national phenomenon that is by no means unique to Ohio. Awareness of the need for Long Term Care Insurance remains disturbingly 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 Ohio Partnership for Long Term Care Insurance “offers a way for people to buy long-term care insurance, receive policy benefits and protect a matching amount of assets if they need to apply for Medicaid.” 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 about 65% 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 Ohio are able to participate in the Partnership for Long Term Care Insurance Program via a number of policy options that meet certain State-mandated criteria. The State of Ohio 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 and Partnership program “was created to encourage Ohioans to plan for their long-term health care needs.” Basically, it works like this: “If you purchase a qualified partnership policy, you will gain coverage for long-term care services. You also will be allowed to keep more of your assets if you ever need to apply for Medicaid long-term care services. Ohioans without a partnership policy who need Medicaid long-term care services must deplete almost all of their assets to qualify for the Medicaid program.” Highlights and requirements of the Partnership Program include:
- Medicaid Asset Protection Long-term care insurance policies that offer enhanced inflation protection.
- For ages 60 or younger – includes a compound inflation benefit (a minimum of three percent compound or consumer price index)
- For ages 61 – 75 – includes some form of an inflation benefit (a minimum of three percent simple or consumer price index)
- For ages 76 and older – no purchase of an inflation benefit is necessary Ability to exchange certain policies purchased on or after August 12, 2002 for a qualified partnership policy.
- Reciprocity with states interested in allowing buyers to claim Medicaid Asset Protection in a state other than the one in which the Partnership was purchased. Support toward the ability to access Medicaid even when the partnership policy is not exhausted.
The “inflation protection” feature and reciprocity are crucial here. Inflation protection ensures that your policy will pay out in tomorrow’s dollars and that your covered for the care you need and reciprocity protects you if you move to another State. More information on the Ohio Partnership Program can be found via this “Fact Sheet” and a list of approved agents can be found here. You can start planning today for your future long-term care needs and securing all that you’ve 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 Ohio Partnership for Long-Term Care Insurance that is right for you, no matter your age or financial status. If you’d like to learn more about our affordable Long Term Care Insurance policies, simply fill out this form.