Why the Partnership

•  The majority of Americans aged 65 and over will have long-term care needs (70% of "Baby Boomers" can expect to use some form of long-term care during their lives).*

•  Paying for needed long-term care services is expensive and often burdensome; many individuals and families exhaust their assets paying for much needed services and supports.*

•  Medicare does not pay for most long-term care services. Individuals should not rely on Medicare to meet their long-term care service needs. Medicare does not pay for custodial care when that is the only kind of care needed. Skilled nursing facility care is covered by Medicare but only on a very limited basis.

•  Medicare Supplement Insurance Plans are designed to fill in some of the gaps in Medicare coverage, but they do not cover most long-term care services.

•  Private health insurance covers mainly acute conditions and probably does not cover long-term care.

•  The New York State Partnership for Long-Term Care offers a lifetime of long-term care coverage while protecting assets, at the price of a two-year nursing home/four-year residential care or home care policy. Other Partnership policies are available to meet specific needs.

•  A lifetime inflation protection option of 3.5% compounded on an annual basis results in a lower cost policy while still making sure the daily benefit keeps pace with inflation over the life of the policy.

•  Covered persons wishing to move out of New York can access the Medicaid portion of their policy in 40 other reciprocal states. Total Asset Plans will be considered Dollar for Dollar plans in reciprocal states.

•  20% New York State tax credit: The State will support New Yorkers' efforts to plan for the future by paying 1/5 of the bill for their long-term care insurance premiums. This credit is available to anyone paying premiums, including children who pay for coverage on behalf of their parents when they file a New York State income tax return.

•  Federal Tax Deduction: The premiums charged for tax-qualified policies are treated as medical expenses for purposes of itemized deductions up to certain dollar limits that are indexed annually.

 

*The Kaiser Commission on Medicaid and the Uninsured. September 2013 | Fact Sheet