Myth #1

 

"A government program will take care of me or my clients"

 

 

Fact:  Government programs to cover Long-Term Care (LTC) are generally difficult to qualify for and have very specific requirements for covered services.  Although public programs including Medicare, Medicaid and veterans’ services may help pay for some LTC services under certain circumstances, each program has specific rules that define which services are covered, when benefits are paid, who can qualify and the dollar amounts for co-payments or deductibles.   

 

Additionally, the program isn't "free", because even though many Americans may eventually qualify for Medicaid to cover LTC costs, there’s often a catch. Federal law requires states to recover the money Medicaid spent on their behalf from their estate after they pass away. 

 

Probate law dictates what assets will be included, but typically this will include real and personal property, such as a home.  While a state won't and can't force a surviving spouse to sell their home, a lien could be put on the house in the amount of the LTC expenditures and this could impact beneficiaries of the estate; including children and grandchildren.

 

 

It’s important to remember that government programs are limited by availability and your clients' financial resources.

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