Navigating Long-Term Care in Wyoming

Wyoming 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 Wyoming. However, long-term health care costs are rising, especially in sparsely populated areas. 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 Wyoming 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 Wyoming have several consumer protections in addition to federal tax benefits.

Federal Partnership Program

The State of Wyoming is a participant in the federal/state long-term care insurance partnership program. This program was authorized under federal law when President George W. Bush signed the Deficit Reduction Act of 2005 (DRA). This program provides consumers with additional “dollar-for-dollar” asset protection when they own a qualified partnership long-term care insurance policy. This is known as “asset disregard.”

“Asset disregard" means, with respect to qualification for state Medicaid benefits, the disregard of any assets or resources in an amount equal to the insurance benefit payments that are made to or on behalf of an individual who is a beneficiary under a qualified long-term care insurance partnership policy.

The Partnership Program also protects those assets after death from Medicaid estate recovery.

Policy Example

For example, if a qualified Wyoming Long-Term Care Partnership Policy pays $275,000 in benefits before it is exhausted, that same amount will not be considered (it will be ‘disregarded’) for the spend-down required for Medicaid long-term care benefits. This means you can keep an amount equal to the amount paid by the insurance company in addition to the normal allowance which is allowed by Medicaid and still access the Medicaid Long-Term Care benefit.

Reciprocity

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

Medicaid

Long-Term Care Medicaid spend down is $2,000. A spouse’s minimum asset allowance is $130,380. Your spouse’s minimum monthly income allowance is $3,259.50. * The home equity limit is $603,000.

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

Products Approved in Wyoming

A variety of products are approved in Wyoming for Long-Term Care planning. These include traditional and partnership certified plans, short-duration policies, and asset-based “hybrid” policies.

Tax Incentives

Wyoming does not offer any state tax incentive for long-term care insurance; however, federal tax incentives are available.

Reverse Mortgages in Wyoming

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

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.

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

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.}