Monday, April 7, 2014
Here’s an example of how a Partnership Policy can help protect assets.
A widowed 70-year-old woman purchases a Partnership Policy, with a policy benefit equal to $150,000. A few weeks after the coverage has been in place, she is in a severe car accident. Once she is released from the hospital and rehab, she still needs assistance doing activities of daily living, such as dressing and bathing. Her impairment is significant, and so she is transferred to a nursing facility down the street. Over the next year to two, she goes through the $150,000 in policy benefits. In order to qualify for Medicaid, she would normally have to spend-down all her countable asset limits to $2,000. However, because she has a Partnership Policy, she is able to qualify for Medicaid while keeping $152,000 of countable assets in her own name. This gives her peace-of-mind in two ways. She knows that, were she to be able to recover some of all of her function, she would have money behind her, and could possibly return the community. Alternately, she is happy to know that she can leave her children or favorite charity an inheritance worth $150,000.
To learn more about the long-term care insurance partnership program in your state visit www.ltcpartnershiponly.com