Arizona Administrative Code › Title 20 - COMMERCE, FINANCIAL INSTITUTIONS, AND INSURANCE › Chapter 06 - DEPARTMENT OF INSURANCE AND FINANCIAL INSTITUTIONS - INSURANCE DIVISION › Article 10 - LONG-TERM CARE INSURANCE › Appendix H - Things You Should Know Before You Buy Long-term Care Insurance

Current through Register Vol. 30, No. 28, July 12, 2024
Things You Should Know Before You Buy
Long-term Care Insurance
Long-Term Care Insurance
* A long-term care insurance policy may pay most of
							 the costs for your care in a nursing home. Many policies also pay for care at
							 home or other community settings. Since policies can vary in coverage, you
							 should read this policy and make sure you understand what it covers before you
							 buy it.
* [
WARNING!
You should
not
buy this insurance policy unless you can afford to pay the premiums every year.
							 You are making a multi-year financial commitment.] [Remember that the company
							 can increase premiums in the future.]
(Drafting Instruction:
For single premium policies, delete this bullet; for
							 noncancellable policies, delete the second sentence only.)
* The personal worksheet includes questions designed
							 to help you and the company determine whether this policy is suitable for your
							 needs.
Medicare
* Medicare does
not
pay for most
							 long-term care.
Medicaid
* Medicaid will generally pay for long-term care if
							 you have very little income and few assets. You probably should not buy this
							 policy if you are now eligible for Medicaid.
* Many people become eligible for Medicaid after they
							 have used up their own financial resources by paying for long-term care
							 services.
* When Medicaid pays your spouse's nursing home
							 bills, you are allowed to keep your house and furniture, a living allowance,
							 and some of your joint assets.
* Your choice of long-term care services may be
							 limited if you are receiving Medicaid. To learn more about Medicaid, contact
							 your local or state Medicaid agency.
Shopper's Guide
* Make sure the insurance company or agent gives you
							 a copy of a book called the National Association of Insurance Commissioners'
							 "Shopper's Guide to Long-Term Care Insurance." Read it carefully. If you have
							 decided to apply for long-term care insurance, you have the right to return the
							 policy within 30 days and get back any premium you have paid if you are
							 dissatisfied for any reason or choose not to purchase the policy.
Counseling
* Free counseling and additional information about
							 long-term care insurance are available through your state's insurance
							 counseling program. Contact your state insurance department or department on
							 aging for more information about the senior health insurance counseling program
							 in your state.
Facilities
* Some long-term care insurance contracts provide for
							 benefit payments in certain facilities only if they are licensed or certified,
							 such as in assisted living centers. However, not all states regulate these
							 facilities in the same way. Also, many people move into a different state from
							 where they purchased their long-term care insurance policy. Read the policy
							 carefully to determine what types of facilities qualify for benefit payments.
							 and to determine that payment for a covered service will be made if you move to
							 a state that has a different licensing scheme for facilities than the one in
							 which you purchased the policy.