Navigating Long-Term Care in New Hampshire

New Hampshire participates in the federal/state long-term care partnership program, offering those with a qualified LTC Insurance policy dollar-for-dollar asset protection. Quality care options are available statewide, and several insurance solutions are available.

There are a variety of quality care options available throughout New Hampshire. However, long-term health care costs are rising. These rapidly increasing costs for care services throughout the state are becoming burdensome on residents and their families for those who do not have Long-Term Care Insurance.

The variety of quality care options available throughout New Hampshire for those who require long-term health care services include:

• adult day care centers
• assisted living facilities
• continuing care retirement communities
• home health care providers
• memory care facilities
• rehabilitation facilities
• traditional nursing homes

Top insurance companies have several insurance options to help residents safeguard income and assets, protect lifestyles, and preserve a legacy. Plus, policyholders will have access to quality care options giving loved ones the time to be family instead of caregivers.

Plus, all tax-qualified Long-Term Care Insurance policies in New Hampshire have several consumer protections in addition to federal tax benefits.

Federal Partnership Program

The State of New Hampshire has joined the majority of states in participating in the federal/state long-term care partnership program. The federal Deficit Reduction Act of 2005 gave the states the authority to set up a partnership plan to encourage and reward consumers who have qualified long-term care insurance and give them additional asset protection.

The incentive is a special asset disregard provision which allows participants to “immunize” assets from the Medicaid (Granite Care) spend-down should their insurance benefits be depleted. This is a partnership between the State of New Hampshire, the insured, and certain insurance companies that have instituted consumer protection enhancements and reporting requirements.

Policy Example

With a New Hampshire Long-Term Care Partnership approved policy, under the asset disregard provision, assets equal to what a policy paid out in benefits will be disregarded for the purpose of determining Medicaid eligibility and spend down. As an example, with a modest insurance policy that pays $300,000, the insured would have an equal amount ($300,000) in assets disregarded. This gives many policyholders peace-of-mind knowing they will never entirely exhaust their estates. The Partnership Program also protects those assets after death from Medicaid estate recovery.

Reciprocity

Most states have reciprocity with other states' long-term-care partnership programs including New Hampshire. This means if you move from or to New Hampshire your partnership asset protection follows you as well.

Medicaid (Granite Care)

Long-Term Care Medicaid spend down is $2,500. A spouse’s minimum asset allowance is minimum of $26,076 up to a maximum of one-half of countable assets up to $130,380.   Your spouse’s minimum monthly income allowance is $2,155. * The home equity limit is $603,000.

For more information about the Medicaid program visit www.medicaid.gov.

Rate Stability Rules

In addition, New Hampshire consumers enjoy additional peace-of-mind as the state has adopted Long-Term Care Insurance Rate Stability Rules.  These rules, developed the National Association of Insurance Commissioners, makes it much harder for an insurance company to get an approved rate increase.

Products Approved in New Hampshire

Several product options are approved in New Hampshire for Long-Term Care planning. These include traditional plans, including partnership certified policies and asset-based “hybrid” policies.

Tax Incentives

There are no state tax incentives available in New Hampshire at this time. Federal tax incentives are available.

Reverse Mortgages in New Hampshire

Reverse mortgages are available in New Hampshire. A reverse mortgage is a home equity loan where the borrower does not have to make payments.

This type of mortgage can increase monthly income, eliminate mortgage payments, and even fund Long-Term Care Insurance. However, New Hampshire has many rules on these products, and you should seek the help of a qualified and licensed mortgage broker. 

If you have significant equity in your home and you and your spouse are at least 62 years old, you can get a reverse mortgage to turn your equity into funding long-term health care, pay for an LTC Insurance policy, pay bills and add to your retirement lifestyle.

The home must be the principal residence without any tax liens. 

Learn more about reverse mortgages by clicking here.

 *The federal government sets a new minimum and maximum amounts each year, but states can set their own minimum requirements at any level between the federal limits. This information is based on the best available sources.