your strategy for long term care

[Dtail]

A 5 year look-back isn't the only concern.

When I was on a high-traffic Alzheimer's email list years ago one attorney posted that her state had passed a law allowing the state to "bust" open Medicaid irrevocable trusts...even after the look-back (only 3 years back then) to get access to the principal.

So you might have to domicile any irrevocable trust setup to preserve assets from attachment by Medicaid out-of-state as well.

Interesting.

 

[RetireeRobert]

I have a couple of comments.
We planned for legacy and do want to leave assets to our adult children. The LTC Policy lets us do that. We have a policy that covers both of us for 2 years and a shared pool for 2 years that either spouse can draw from. So a max of 6 years. One spouse could use 4 years and the other 2 years. Each spouse always retains their 2 years.

One aspect that attracted us was that the policy qualifies as a "Partnership Plan."

The sweet spot to apply is between 58-63 before any chronic issues arise.

My wife and I were lucky in that we both received the Ultra rates which are given only to 15% of applicants who are excepted. If rates rise too much we can always cancel. And those premiums are not "wasted."

Would you care to share what company you have your LTC policy with? Sounds interesting.

 

[MrLoco]

Would you care to share what company you have your LTC policy with? Sounds interesting.

Mass Mutual. We signed up 4 years ago. They may have increased rates for the same coverage since then. Who knows. Our plan costs us about $3,000 per year(for both of us) for the coverage I outlined which we felt was reasonable. The plan has a 3% annual increase in benefits as well. The fact that this plan met the requirements for a Partnership Plan was the deciding factor for us.

I looked at some of the hybrid plans but was not interested in paying $50-$100k as a single premium as I felt these policies were nothing more than a life ins. policy with a LTC rider. Once you sink that much money in such a plan; you are stuck with it. I would rather pay year to year the same as with most insurance policies. If the rates ever become too high, we simply cancel. And like I mentioned, you might still need LTC earlier than you think. Paralysis, strokes, early dementia, etc. We felt the Traditional LTC policy suited our needs.

 

[LA_Newsboy]

Self-funded home care, to the extent needed, and a private fiduciary or a daily money manager to oversee finances and pay bills if the need arises.

 

[Ian S]

If necessary for LTC, as a dual national (Canada and US citizenship), I'd consider playing the Canadian Card: https://wellspouse.org/health-care/playing-the-canada-card-an-american-caregiver-s-experience.html

 

[youbet]

An irrevocable trust has been created for my parents in 2017 and funded in Jan 2018.
There will be a 5 year lookback going ahead to 2023. So currently my DF requires 24/7 home care, of which the trust has no current effect.

This still confuses me.......

If your parents assets were taken out of their control and they now need to pay for home care (before the 5 year look back period has expired), how are they doing it? Where is the money coming from?

Edit: OK, I was looking back at earlier posts and now see that your father's care is being paid for by his LTCi. How do the LTCi and the irrevocable trust work together in regards to getting onto Medicaid while still having money?

Not doubting you at all Dtail. I'm just unfamiliar with the strategy.

 

[skyking1]

We are discussing self fund/CCRC.
We live where we do now originally to take care of DW's parents in their home. MIL had cancer for a long time and DW was a crucial part of her care team ( Slave ?)
They did get home health/hospice care and signed off most of the house to get it.