Louisiana Long Term Care Insurance
This page covers important long-term care information for residents of Louisiana, including the average cost of long-term care (LTC), the costs of LTC insurance, popular companies offering LTC insurance in the state, and information about Medicaid and the Louisiana Long-Term Care Partnership Program.
Paying for Long-Term Care
Long-term care is expensive, and the costs associated with it can add up quickly. It is important to keep these costs in mind as you plan for your future long-term care needs, even if you don’t end up purchasing a long-term care insurance policy. This is especially important for Louisiana residents, as the state has some of the most expensive home health care options in the country. To help give you a better idea of the expenses you may face, below we have listed the average prices for some commonly used LTC services in Louisiana.
Average Costs for Common Long-Term Care Services in Louisiana:
- Nursing Home (private room): $180 (Daily)
- Nursing Home (semi-private room): $170 (Daily)
- Assisted Living Facility (private room): $3,293 (Monthly)
- Home Health Aide (X hours/week): $12 (Hourly)
The Costs of Long-Term Care Insurance
The cost of long-term care insurance is impacted by several factors and can vary greatly from policy to policy and person to person. How much you pay will change depending on the amount of coverage you select, the maximum amount of benefit the policy will pay per day, the maximum number of years (typically measured in days) that the policy will pay out, and the total amount that will be available through the policy. The length of the elimination period and the types of services covered by the policy will also influence the cost, as will optional extras such as inflation protection. Other, less-obvious factors can play into a policy’s cost as well. To learn more, please see our article on the subject.
- Average Yearly Premium for an LTC Insurance Policy in Louisiana: $
- Average Daily LTC Benefit Purchased in Louisiana: $130 (per day)
State Partnership Program
Partnership programs are three-way collaborations between the state, the federal Medicaid program, and long-term care insurance companies. The Louisiana Long-Term Care Partnership Program first went into effect in 2010 and requires participating policies to meet certain federal and state standards. These policies also help protect your assets from the spend-down requirements of Medicaid by allowing you to qualify for Medicaid coverage with a larger-than-normal amount of assets. The specific amount typically varies based on the total benefits paid out by your policy.
Rates for policies qualifying under this program do not differ significantly from those of non-qualified policies offering similar benefits. However, the regulations and requirements that must be met for a policy to qualify under this program also mean that these policies have less flexibility than many non-partnership policies. Because of this, it is a good idea to shop around and look at non-partnership policies in addition to those that qualify under the program so you can be sure that you have chosen the best policy for your needs and budget.
The Louisiana Long-Term Care Partnership Program also offers reciprocity, meaning that if you purchase a partnership policy in a different state and then move to Louisiana, your assets will remain protected. The same will be true if you purchase a partnership policy in Louisiana and then move to a different state that also offers reciprocity.
If you can’t afford a long-term care insurance policy or your coverage window ends but you still require care, Medicaid is a viable option. Medicaid is the federal and state health insurance program for people with lower incomes and can be used to cover basic long-term care services. Because Medicaid is designed for low-income individuals, certain financial requirements must be met in order to qualify. The income requirements for Medicaid are typically handled in one of two ways. Income cap states require that your income be at a certain level when you first apply for Medicaid, while non-cap states will allow you to spend your assets down over time. Louisiana is an income cap state. However, medically needy individuals may qualify for an exemption and be allowed to use medical expenses to spend their assets down to the proper threshold.
Medicaid is commonly used to pay for care in certified nursing homes, but there are non-facility options as well. Like many other states, Louisiana offers home- and community-based services (HCBS) waiver programs. These programs provide payment for special LTC support services, which can be provided in a facility or a in person’s home or community. One such program is the Community Choices Waiver (CCW), which serves as an alternative to nursing home care. Participants are given a budget to create a care plan around. Available services include nursing and skilled therapy, home modifications, personal care, home-delivered meals, and more. Another option is the Adult Day Health Care (ADHC) Waiver. Adult day health centers provide community-based care and supervision in a safe, supportive setting. Settings provided at such centers include medication management and personal care assistance.
Eligible citizens can also receive Personal Care Services in the comfort of their homes without being part of one of the waiver programs mentioned above. Through this program, elderly persons can receive assistance with various activities of daily living (ADLs), such as bathing and getting dressed. There is also the Program for All-Inclusive Care for the Elderly (PACE), which provides necessary care services with the aim of allowing people in need of long-term care to remain in the community and live as independently as possible.
Companies Offering Long-Term Care Insurance in Louisiana
Louisiana residents have a variety of long-term care companies and policies to choose from. Popular long-term care insurance companies in this state include Genworth, Mutual of Omaha, TransAmerica, MassMutual, and New York Life. Please take a look at our articles on these insurance companies and others to learn more about their histories, reputations, financial strength, and the policies they offer.
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