Long Term Care Insurance Partnership in California

Long Term needs are not constant due to the factMedicaid normally requires to those who are availing it.
that they are needed in a long period of time. TheIt is a Partnership Program is a combination of private
costs are usually high in states like New Jersey,insurance and Medi-Cal.
Washington, and California where long term care isInsurance companies normally offer programs that
needed most. A wide-ranging survey is conducted byalways defined in policies. For the insurance program
Genworth Financial which states that the average rateto qualify for the Partnership Program, the long term
for Assisted Living Facilities can reach the amount ofcare insurance policies must meet the Partnership
up to $42,000 annually. Private rooms in Nursing homesRequirements. Along with the Partnership benefits, the
cost an average median of $87, 345 and semi-privateprogram also covers the unique feature of Medi-Cal
rooms cost $73,000 a year. The state of California isAsset Protection. A certain senior or disabled person
actually one of the top 4 most expensive Americanwho does meet the spend down requirements of
states to receive care.Medi-Cal. The California Long Term Care Partnership
Financially speaking, Long Term care gives burden toProgram aims to let these insurance holders to retain
many retirees in California. In the 4 million adults intheir positions as qualified Medi-Cal benefit claimers.
California aged 65 and above, 500,000 of them areUnlike other Partnership Policies, the California Long
senior citizens who are below the Federal PovertyTerm Care Partnership Policy offers two types. The
Level. Medi-cal or the California Medicaid Programfirst one is the Comprehensive type which covers
covers 27% of the state's senior population. This 27%care at home and in the community, not to mention the
has been spending up to $28.9billion for their Californiacare in facilities. The other type of Partnership Policy
Medicaid benefits. Majority of these Medicaidthat is being offered is the Facility only which covers
beneficiaries (40%) are disabled and (27%) are seniorsonly the facilities that are needed by the insured
in the year 2006 alone.individual. The common offer of most insurers
Because of these costs, the State has come up withregarding both types of policies is one to five years of
the California Partnership for Long Term Carecoverage although lifetime coverage has been made
Program. This is defined as the partnership betweenobtainable since October 1998. All Partnership policies
the Department of Health Care Services of the Statehave these features: inflation protection, partnership
of California and private insurance companies. Thepolicy waiver of premiums, elimination period, care
California Partnership for Long Term Care Programcoordination, interchangeable benefits.
has the objective of reducing the financial burden that