Posts Tagged Nursing Home

What is Long Term Care Insurance and What Does It Cover?

Long Term Care Insurance1 out of every 2 people will need to have long term care at some point in their life. Long Term Care Insurance can help alleviate the costs when you are in need of long term care.

You must set up Long Term Care Insurance before you need it. Once you have been diagnosed with a long term care illness, you will not be able to qualify for the insurance. Obtaining this insurance is a preventative measure.

Most Long Term Insurances cover:

  • nursing homes
  • Alzheimer’s care
  • personal care in your home
  • assisted living facilities
  • hospice care
  • adult day care
  • respite care
  • home health care

Depending on the choices you make (such as the maximum amount the policy will pay per day in long term care, maximum amount of days it will cover, etc.) will depend on the cost of the premiums. Be sure to investigate the insurance company you decide to go with. It is a good idea is to check the company’s premium rate history. Many companies increase their premium rates regularly which can stick you with a high monthly cost. You may want to meet with a professional to help you choose the best plan for you.

Top 5 ALTCS Myths

ALTCS MythsMyth #1
I make too much money to qualify for ALTCS.

There are steps you can take in order to readjust your income in order to qualify for ALTCS. We have listed a few in our previous blogs, such as Miller Trust, Funeral Trust, Special Needs Trust, Annuities and more.

Myth #2
I am already in an assisted living home, and I was told that I won’t be able to qualify for ALTCS.

You can apply to ALTCS at any time, however if you are not already in an ALTCS approved assisted living home you may need to relocate to an approved facility. You can ask the home if they have an AHCCCS provider ID number to find out if they are an approved facility. At Legal Awareness for Seniors we may assist you in finding the right home to live.

Myth #3
ALTCS will only pay for assisted living and I don’t want to reside in a nursing home.

This is not true. ALTCS will pay for care if you are in a nursing home, assisted living home, care facility, foster care home, and even in a home of your loved one. There are ways to qualify for ALTCS and still live at home when the proper documentation is set up.

Myth #4
I must spend thousands of dollars in order to apply for ALTCS.

Legal Awareness for Seniors has 100% qualifying rate to assist you in properly setting up your documents for ALTCS planning.

Myth #5
ALTCS will take all of our assets once we qualify.
This is not always the case. States are required to recover the funds they have spent on your care, however this does not take place until after you have passed away. There are some exemptions and waivers that help maintain some of your assets for your heirs.

What Does Medicare Cover?

This is a commonly asked question.  Many believe that Medicare will cover the costs of assisted living care. In reality Medicare will only pay for short term nursing home care (on average they only cover around 21 days) and does not cover any costs of assisted living care.

There are three parts to the Medicare program:

  • Part A: Inpatient hospital Medicarecare including
    • Ambulance
    • Semi-private room
    • Skilled nursing care (until discharge or day 100 whatever comes first)
    • Medical equipment and supplies used in the hospital
    • Medication
    • Other miscellaneous hospital amenities (such as meals, assistance, etc.) if they are needed to meet your health goals
  • Part B: Doctor visits and other outpatient care
    • Preventative health care
    • Medical Tests, screenings and vaccines
    • Some medical supplies
  • Part D: Prescription drugs (there are multiple packages to choose from which include a monthly premium)

If you are looking to have your Assisted Living covered, you will need to look into Medicaid (also known in the state of Arizona as ALTCS).