How Does Medicaid Help With Long-Term Care (LTC) Services?

Medicaid is a social insurance program jointly funded at the state and federal level that pays for health services for qualifying low-income individuals. Since Medicaid is funded at the state level eligibility and health services covered vary depending on which state the individual resides in. Medicaid helps pay for nursing home care as well as home and community LTC services for older low income individuals with limited assets that fall within their respective state eligibility group qualifications.

When dealing with long-term care Medicaid is more significant than Medicare but it is possible for an individual to be dual eligible qualifying for both Medicare and Medicaid. Many elderly people who do not have LTC insurance end up paying for LTC services themselves and quickly realize their financial resources are not sufficient to cover extended stays at a nursing home. Those who need long-term care may end up relying on friends and family but few people have the financial resources to sustain a lengthy stay at a nursing home. After the elderly individual has liquidated all their assets to pay for their nursing home stay they end up qualifying for Medicaid as they now have no income or other assets. Medicaid is the primary payor of LTC services in the United States due to individuals exhausting their financial resources in their elderly years.

Many elderly individuals will find themselves in need of long-term care services but without the financial resources to cover the extraordinary costs.

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Insurance terms, definitions and explanations are intended for informational purposes only and do not in any way replace or modify the definitions and information contained in individual insurance contracts, policies or declaration pages, which are controlling. Such terms and availability may vary by state and exclusions may apply.

The Importance of Long-Term Care (LTC): Why You Should Plan Ahead

With the advancement of medicine data shows the number of years we live have increased with a decline in early year sudden deaths. The declining death rates are increasing the need for long-term care for most individuals. Individuals may also find themselves in need of LTC due to the advances in pharmaceuticals slowing the symptoms of their diseases increasing the individuals longevity.

Medical Advancements are:

• helping individuals survive accidents that in the past would have been fatal

• offering more outpatient services shortening the time spent at the hospital

• helping individuals live longer with the rate of sudden early year deaths declining

Many individuals do not think about LTC services until the need arises. Unfortunately, if an individual waits until they are disabled or too old the option to purchase LTC insurance will no longer be an option. LTC insurance must be purchased before it is needed and many individuals lack the foresight to think that far ahead into the future. It is difficult for some individuals to think that far ahead as most of us tend to focus on short-term benefits or our current needs and wants.

Given the need for long-term care and the high range of cost for LTC services it is becoming more important that an individual plan ahead. While many individuals believe that Medicare or their current health insurance will cover this type of care it is simply not the case. Many individuals may be underestimating the cost of future LTC services, it is not wholly covered under a government program.

Why individuals should consider planning for LTC services sooner rather than later:

• planning ahead can ease the financial and emotional burden put onto family members and release one's family from the burden of providing the care if it needed.

• planning ahead will promote continued quality of life and allow an individual to define where and how care is delivered allowing for greater independence if the care is ever needed. This will avoid the uncertainty, confusion, and mistakes that could arise when one's family is forced to make that decision when someone becomes too old.

If an individual plans for their LTC needs when they are younger they will have the advantage of options. Long-term care can occur in a variety of places, including in an individual's home, care facilities, and community centers.

There are three primary care levels of LTC:

• Custodial Care - focuses on the personal needs of care of activities of daily living bathing, dressing, eating not provided under a doctor's supervision

• Intermediate Care - nursing and rehabilitative care that is required only occasionally or part-time is performed by skilled practitioners under a doctor's supervision

• Skilled Care - it is care requiring the availability of round-the-clock nursing with the presence of an on duty supervising RN at all times a type of medical care of those requiring close monitoring usually for a short-term period.

Medicare is not a complete coverage of health care it pays for many preventive services and medically necessary health care services. Medicare pays for about half of what seniors will typically incur in total health care expenses. Keep in mind as well that Medicare does not cover routine dental care, eye care, and hearing aids. Medicare does not pay for long-term care at home when the care is primarily custodial care. Medicare was designed to cover acute conditions medical expenses. Medicare will not pay for custodial care outside of a skilled nursing care facility. Medicare covers skilled nursing facility if it is preceded by a hospital stay of at least three days and the physician ordered your stay at the skilled nursing facility with benefits extending through the 1st 100 days of skilled nursing care services.

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Insurance terms, definitions and explanations are intended for informational purposes only and do not in any way replace or modify the definitions and information contained in individual insurance contracts, policies or declaration pages, which are controlling. Such terms and availability may vary by state and exclusions may apply.

Key Factors to Consider When Choosing Personal Auto Insurance

Key Factors to Consider When Choosing Personal Auto Insurance

Collision and comprehensive (other-than-collision) auto insurance are two types of coverage that provide protection when your vehicle is damaged. It's important to note that they cover different types of damage. 

Collision provides coverage for your vehicle in the event of a covered accident involving a collision with another vehicle. This coverage may include repairs or even a full replacement of your covered vehicle depending on policy. 

Other-than-collision (also known as comprehensive) car insurance provides coverage for damages to your vehicle that are non-collision related, such as theft, vandalism, fire, windstorm, or hail.

Collision coverage and/or Other than collision coverage for a newly bought auto begins on the date the insured becomes the owner. The insured must ask their current personal auto insurance company to insure the newly bought vehicle within 14 days of becoming the owner if you have an existing policy for at least one vehicle. You may find that if you buy your new automobile from a dealership, they may demand that the vehicle be added to your insurance before you drive the car off the dealer's car lot this is not uncommon.  

Your insurance policy is an intricate document that outlines everything you're covered for, as well as what's not included in case of a loss and should be reviewed carefully during renewal periods to make sure you are properly covered.

A personal auto policy should contain several parts: 

• Liability Coverage 

• Medical Payments Coverage 

• Uninsured Motorist Coverage 

• Coverage for damage to your vehicle 

• Duties after an accident or loss 

• General provisions 

Liability coverage usually covers the insured or any family member for the ownership, maintenance, or use of any vehicle, as well as any person using the insured’s covered vehicle with permission from the insured.

How to read your policy limits under a personal auto policy 

Split limit coverage uses three-dollar amounts to specify the maximum amount the policy will pay for 

• 1st bodily injury for each person involved/ 

• 2nd bodily injury for the entire accident/ 

• 3rd property damage 

Split limits are always expressed in this order so when reading a split policy of 100/500/200 maximum limits would be: 

• $100,000 maximum bodily injury for each person involved/ 

• $500,000 maximum bodily injury for the entire accident/ 

• $200,000 maximum for property damage caused by the accident 

Combined single coverage uses a single maximum amount of coverage for all losses. It doesn’t the number of people involved or the amount of property damage. A $500,000 combined single coverage is the maximum covered for all bodily injury and property damage incurred from the accident.

A licensed independent agent can help assess your needs and find you the best possible personal auto policy. Premium pricing can vary greatly from one insurance carrier to the next an independent agent can get quotes from multiple insurance carriers.

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Insurance terms, definitions and explanations are intended for informational purposes only and do not in any way replace or modify the definitions and information contained in individual insurance contracts, policies or declaration pages, which are controlling. Such terms and availability may vary by state and exclusions may apply.