Dangerous Liabilities Lurk for Families and Advisors in Long Term Care Planning

Unexpected and dangerous threats in the form of professional and personal liability have emerged in the wake of the growing LTC funding crisis.  Law suits and mandated claw-back actions have been brought against families in attempts to recover monies spent on long term care.  Insurance and legal advisors have also been sued by clients in response to fiduciary responsibility issues about options to fund long term care, or how to derive the highest value from a life insurance policy.

Are You Prepared for Long Term Care? What You Need To Know Today.

Seniors and their families are already struggling with the costs of everyday living, if you add the costs of long term care to the picture it is a back breaking scenario for most Americans.  Statistics show that the majority of people do not understand the various forms of long term care, the different means to pay for it, and most do not plan for long term care until they are hit by a health care crisis.

Long Term Care Benefit Plan Spend-Down and Medicaid Eligibility: Asset Recovery Rules and Filial Responsibility Laws

Since the enactment of the Omnibus Budget Reconciliation Act of 1993, Medicaid’s rules concerning eligibility, asset transfers, and estate recovery have been designed to restrict access to Medicaid’s long-term care services to those individuals who are poor or have very high medical or long-term care expenses, and who apply their income and assets toward the cost of their care. 

Private Pay or Medicaid? Long Term Care Benefit Qualifies for Both

As 10,000 Baby Boomers a day started turning 65 on January 1, 2011; the big three entitlement programs, Social Security, Medicare and Medicaid, are all in the red and creating havoc for government budgets at the federal and state levels. This has become the number one concern of the Federal Reserve about the U.S. economy.

The Treatment of Life Insurance as an Unqualified Asset for Medicaid Eligibility

Over 10 million Americans now require long term care annually. Medicaid is the primary payer of long term care services in the United States. The national average cost of a nursing home is $72,000 per year, for assisted living it is $38,000, and for home healthcare services it is $21 per hour. Most people will drain all personal savings and assets paying for long term care in their first year of usage.