DATE: JANUARY 1, 2011
Manual: Family and Children’s Medicaid
Change No: 02-11
To: County Directors of Social Services
Effective: January 1, 2011
Session Law 2010-68 provided for the collaboration between the Division of Medical Assistance and the Department of Insurance to establish a qualified Long Term Care Partnership Program policy which will provide both a resource disregard at application for LTC Medicaid or CAP and resource protection at estate recovery.
Individuals who have used a qualified Long Term Care Partnership policy are eligible for a resource disregard at application for LTC Medicaid or CAP and resource protection at estate recovery. The amount of the resource disregard and resource protection at estate recovery may be equal to the amount paid out on behalf of the individual from the qualified Long Term Care Partnership policy. A qualified Long Term Care Partnership policy provides a mechanism for individuals to qualify for coverage of the cost of care under Medicaid, or CAP services, without first being required to substantially exhaust their resources, and will also substantially reduce the burden on the state Medicaid program by encouraging individuals to obtain private long-term care insurance.
The definition of estate is different from other applicants and recipients. The definition of estate for those who receive the resource disregard due to the use of a qualified Long Term Care Partnership policy includes all real and personal property owned at the time of death and those assets conveyed to a survivor, heir or assignee, life estates and living trusts, ownership interests in joint tenancy with rights of survivorship, tenancy in common and any other arrangement.
This policy is effective January 1, 2011. Apply this change to applications taken and redeterminations started on or after January 1, 2011, as well as those applications currently in process only for months beginning January 2011 or later.
If you have questions regarding this information, please contact your Medicaid Policy Representative.
Craigan L. Gray, MD, MBA, JD, Director
(This material was researched and written by Cynthia Mobley, Policy Consultant, Medicaid Eligibility Unit)
For questions or clarification on any of the policy contained in these manuals, please contact your local county office.