A Couple and LTCI Coverage - One Approved and One Denied

[Dale M Krause]

As a Crisis Medicaid Planner, I am curious to know what happens when a couple applies for Long-Term Care Insurance (LTCI) and only one of them is approved. Do they miss out on the opportunity altogether, feeling disappointed? How does the agent handle such a situation?

From my perspective, as a Crisis Medicaid Planner, the news is not all negative. Healthy spouses can get better LTCI coverage since they no longer need to purchase two separate policies. As for the unhealthy spouse, if they require long-term care in a nursing home, Medicaid benefits are readily available with some simple planning. A Medicaid-compliant annuity (MCA) can preserve any at-risk assets for the healthy spouse.

 

[kpbdy99]

"Healthy spouses can get better LTCI coverage since they no longer need to purchase two separate policies." Huh?

 

[scagnt83]

"Healthy spouses can get better LTCI coverage since they no longer need to purchase two separate policies." Huh?

He is saying there is extra premium free because only 1 policy is purchased.

However, we all know that is not true.

The uninsurable spouse needs to save/invest the premium in order to cover those future expenses.

If planning for Medicaid is an option, they likely were not great LTCI prospects to begin with, as they have very little in assets.

 

[Dale M Krause]

Given the husband's inability to qualify for LTCI coverage, the funds initially designated for his policy can now significantly improve his wife's coverage. This adjustment underscores the importance of her well-being and ensures a more robust plan for their future. As the husband's chronic conditions make him uninsurable, his only option, apart from self-payment, is to rely on Medicaid.