Funding Alternatives for

1. Funding Alternativesfor Long Term Care

2. Costs of Long Term Care Home Care $0 - $500 per day Adult Day Care $50 per day and up Facility Care $3,000 - $12,000 per month

3. Funding Alternatives • I. Major Medical Insurance • II. Medicare • Skilled Nursing Facility – Part A • Home Care – Part A or B • III. Medicaid • IV. Family & Personal Resources • V. Long Term Care Insurance • VI. Other

4. Funding Alternatives Major Medical Insurance • Must meet Medicare standards • Maximum of 120 days • Must be “skilled care” • Skilled nursing • Physical therapy • Rehabilitative

5. Funding Alternative MedicareSkilled Nursing Facility • Maximum of 100 days • 0 to 20 days no copay • 21-100 copay $128.00 per day • Must be “skilled” care • Required daily • Skilled nursing • Physical or speech therapy • Three days of hospitalization req’d prior • Must enter facility for same reason as hospitalization • Must enter within “short” time (usually 30 days) • Must be rehabilitative

6. Funding Alternative MedicareHome Health Care • Part A • Maximum of 100 visits • “Skilled” and under care of physician • Agency participates with Medicare • Patient is confined to home • Part B • “Skilled” but may be for chronic conditions • Not directly related to hospital stay • Part time and intermittent from participating agency

7. Funding Alternative Medicaid • Welfare Impoverishment is necessary • You cannot have assets or income of significant value • Nursing Home Only very few ALF • It is less expensive for Medicaid to provide care in a facility than to provide home care • Medicaid Planning • Loss of choice and independence

8. Funding AlternativeFamily & Personal Resources • Cost • $6,000 - $7,000 per month for facility • $150 for home care session • If family chooses to do it: • Toll on the Family • Money meant for college educations • Loss of privacy • Emotional cost to caregiver and to other family members • Is it best for the patient? • Isolation • Quality of care

9. Funding AlternativeLong Term Care Insurance • Qualified vs Nonqualified plans • Opinion • Less chance of rate increases • Less chance of fraud • Tax Advantages • Fully deductible to business for employees • Tax deductible subject to age/premium restrictions • Benefits received tax free • Cost • The younger you are, the less expensive in the short term and the long term • The healthier you are, the less expensive • If you live with someone of your same generation - discounts

10. Funding AlternativeOther • Reverse Mortgage • Annuities • Viatical Settlement • Combination of life insurance & LTC • Accelerated benefits of life insurance • Rental of home for income • Partnership Plan

11. Non-funded Alternatives • Meals on Wheels • Interfaith Ministries • Churches • Project Dana • Catholic Charities • Salvation Army