Maryland Long Term Care Insurance

From 2000-2004, Maryland's senior populationlong term care policies to become partnership policies
increased to about 2.32% for 64-74 age bracket, whilein line with the Code of Maryland Regulations
25.8% surge in 85 age group. The Maryland Health(COMAR) 31.14.03. All partnership polices shall contain
Care Commission concluded that the population ofPartnership Policy Status Disclosure Notice that
aged 65 and above will grow up to 710,571 by 2011.expounds the consumer protection features and
Most residents in Maryland rely on nursing homes oractions for the disqualification of the partnership policy.
institutional care for long term care after getting acuteThe partnership policy may end when the policy holder
hospital care. Of those who have turned to nursingmove to a different state, makes adjustments in the
home care, women receive much care and usepolicy, or if there are changes in the federal or state
nursing home facilities than men. Seniors age 85 andlaw.
above had the lengthiest period of stay in nursingPartnership Policy Features
homes among the other age groups in seniorMedicaid Asset Protection
population. According to study, the average age ofThe asset disregard is one of the competent features
nursing home residents in 2004 was 82 years old.of partnership policies. The amount that a policyholder
Most of these residents in Maryland that need longcan protect is equivalent to the amount of the benefits
term care depend on Medicaid program to financereceived. For example, the policyholder has $150,000
such services. Medicaid or the Maryland Medicalinsurance benefits, he or she can maintain assets
Assistance Program is a state-federal financialamounting to $150,000 regardless of the Medicaid
program that supports low-income earners. Medicaideligibility limit. Residents of Maryland will not be pushed
program, no matter good the mission is, has severalto abridge their financial assets to qualify for Medicaid,
disadvantages in terms of asset limit. Medicaid requiresso people will accumulate assets that they will need in
people not to exceed the asset limit to qualify for thethe future. The policyholder may request for a
program.partnership policy summary from the insurance
Maryland Long Term Care Partnership Programcompany to check the insurance benefits paid and the
The Maryland Long Term Care Insurance Partnershiptotal amount of benefits available.
is a program created between the state of MarylandInflation Protection
and private insurance companies. The partnershipThe inflation protection feature protects the
program was established on December 15, 2008 underpolicyholder against the increasing costs of services in
the 2005 Deficit Reduction Act; thus, Maryland'sthe future. The amount of the protection depends
insurance partnership is recent compared with otherlargely on the age of the policyholder when the
states that have already instituted the program for sopurchase was made. Policyholders below age 61
many years.should receive either at least 3% compound annual
The state plan amendment was approved byinflation or an interest rate equal to the annual increase
Medicare and Medicaid services and becamein the Consumer Price Index (CPI). Policies to those
effective on January 1, 2009. The state planaged 61 to 75 may include some inflation protection,
amendment authorizes the asset disregard and worksbut an individual aged 76 years and older is not entitled
under the Maryland Department of Health and Mentalfor inflation protection.
Hygiene. This program allows residents of Maryland toTax Qualified Policy Feature
avail long term care services without exhausting theirUnder federal law, a percentage of the premiums for
assets and resources.tax-qualified insurance policies may be deducted from
Partnership Policiesthe income tax.
The Maryland Insurance Administration approves the