Planning for long-term care is a critical aspect of financial security, especially as we or our loved ones age. The Georgia Long-Term Care Partnership Program offers a unique approach, blending private long-term care insurance with Medicaid benefits to protect your assets. This program, a collaboration between the Georgia Department of Community Health, the Office of the Commissioner of Insurance, and the Department of Human Resources, Division of Aging Services, aims to provide Georgians with quality long-term care options without requiring them to deplete all their savings.
This innovative public-private partnership is designed to make long-term care insurance more accessible and beneficial. It allows individuals to purchase private long-term care insurance policies that, in turn, offer Medicaid asset protection. This means that for every dollar paid out in benefits by a Partnership policy, a dollar of your assets is protected from Medicaid’s asset limits for long-term care eligibility. Furthermore, these protected assets are also exempt from Estate Recovery, up to the amount of benefits paid by the Partnership policy. This dual protection is a key feature unique to Partnership policies.
Once your private insurance benefits are fully utilized, the Georgia Long-Term Care Partnership Program ensures a smoother transition to Medicaid if further coverage is needed. Special, more favorable Medicaid eligibility rules are applied in this situation, recognizing your prior investment in long-term care insurance.
Partnership policies in Georgia are designed to be tax-qualified under federal law, adding to their financial advantages. They also typically include inflation protection benefits for policyholders, helping the value of the benefits keep pace with the rising costs of long-term care over time. For individuals between 61 and 75 years of age at the time of purchase, some level of inflation protection is included. While inflation protection is optional for those 76 and older, it remains a valuable consideration.
Many Georgia Long-Term Care Partnership policies also extend coverage to home and community-based services. This is an important feature to consider, as many individuals prefer to receive long-term care in the comfort of their own homes or within their communities rather than in institutional settings. Choosing a policy that covers these services provides greater flexibility and control over your care options.
Who is the ideal candidate for a Georgia Long-Term Care Partnership policy? It’s generally well-suited for individuals who anticipate needing long-term care but want to protect their assets while still ensuring access to quality care. These are often individuals who have accumulated savings and investments but are concerned about the potentially high costs of long-term care eroding their financial security. Purchasing long-term care insurance, and especially a Partnership policy, is generally more affordable when you are younger and healthier.
Before making a decision, it’s advisable to consult with a trusted financial advisor or a long-term care insurance agent. They can help you navigate the complexities of long-term care planning and determine if a Partnership policy is the right choice for your individual circumstances. To purchase a Georgia Long-Term Care Partnership policy, you can reach out to your local insurance agent or contact insurance companies approved to sell these specialized policies. For a list of approved carriers, you can contact the Office of Commissioner of Insurance at (404) 656-2070 or 1-800-656-2298 (toll-free), or visit their website at https://oci.georgia.gov/. It’s also worth checking if your employer offers long-term care insurance plans. Keep in mind that the State of Georgia administers and oversees the Partnership Program but does not directly sell Partnership policies.
Partnership policies are offered through participating insurance companies authorized by the Georgia Office of Insurance Commissioner. Agents selling these policies are required to undergo specific training, ensuring they are knowledgeable about the program’s intricacies. Costs for Partnership policies will vary depending on the insurance company and the specific features of the policy. A local insurance agent can provide tailored information on rates and premiums.
For further details about the Georgia Long-Term Care Partnership Program, you can visit the Georgia Department of Community Health website at: www.dch.georgia.gov, or contact GeorgiaCares, the State Health Insurance Assistance Program (SHIP), at 1-866-552-4464, Option 4. For any issues contacting insurers directly, the Georgia Office of Commissioner of Insurance website offers a company search tool: https://oci.georgia.gov/company-search.
