Pennsylvania Long Term Care Insurance
This page covers important long-term care information for residents of Pennsylvania, 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 Pennsylvania’s Long-Term Care Partnership.
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. 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 Pennsylvania.
Average Costs for Common Long-Term Care Services in Pennsylvania:
- Nursing Home (private room): $329 (Daily)
- Nursing Home (semi-private room): $305 (Daily)
- Assisted Living Facility (private room): $3,450 (Monthly)
- Home Health Aide (X hours/week): $17 (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 Pennsylvania: $
- Average Daily LTC Benefit Purchased in Pennsylvania: $139 (per day)
State Partnership Program
Partnership programs are three-way collaborations between the state, the federal Medicaid program, and long-term care insurance companies. Established in 2007, Pennsylvania’s Long-Term Care Partnership 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.
Pennsylvania’s Long-Term Care Partnership also offers reciprocity, meaning that if you purchase a partnership policy in a different state and then move to Pennsylvania, your assets will remain protected. The same will be true if you purchase a partnership policy in Pennsylvania 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 a program meant to provide necessary care for low-income individuals, certain financial requirements must be met to qualify. Many of the individual programs offered through Medicaid also have age and medical requirements.
Pennsylvania’s Medicaid program helps to cover the cost of certified nursing homes and also offers options for those who would rather stay in their own homes if possible. A variety of such home- and community-based services, also known as waiver programs, are available to eligible Pennsylvania residents. One example is the Aging Waiver, which can provide coverage for services such as adult day care, attendant care, home modifications, home health care, specialized medical equipment, companion services, home-delivered meals, personal care services, and more.
LIFE, the Living Independence for the Elderly Program (also known as LTCCAP), is another option. This program can provide adult day health care, transportation, medical care, skilled nursing, social services, special medical equipment, personal care, home-delivered meals, help with chores, and several different forms of therapy. These services are only available in specific areas, so those looking to participate in LIFE may need to move in order to be eligible. Other waivers, such as the Attendant Care Waiver, may also be good choices depending on one’s needs and situation. It should be noted that an individual cannot receive benefits from more than one of these programs at a time.
Companies Offering Long-Term Care Insurance in Pennsylvania
Pennsylvania 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, and MassMutual. 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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