Dale M Krause
Expert
It is essential to understand that LTCI denials can have positive and negative implications depending on the situation. If a client is denied coverage, it can be a difficult decision for them, especially if they are a couple. For instance, if a husband is rejected when applying for traditional LTCI policies, the couple may have to decide whether to give up on the opportunity or whether the wife should pursue coverage instead. Alternatively, they may opt for a hybrid joint policy. Unfortunately, many clients end up disappointed in such situations.
However, a denial can also be considered positive news. According to a crisis Medicaid planner, if the wife is insurable after the husband's denial, she can now get even better coverage at a more affordable rate. This is important because the husband is likely to predecease her due to his poor health, and she will need quality coverage at that time.
As for the husband, since he is uninsurable, he would plan to qualify for Medicaid benefits when he requires long-term care in a nursing home. Under the present Medicaid rules, 100% of the assets at risk can be protected for the wife, giving him immediate eligibility.
However, a denial can also be considered positive news. According to a crisis Medicaid planner, if the wife is insurable after the husband's denial, she can now get even better coverage at a more affordable rate. This is important because the husband is likely to predecease her due to his poor health, and she will need quality coverage at that time.
As for the husband, since he is uninsurable, he would plan to qualify for Medicaid benefits when he requires long-term care in a nursing home. Under the present Medicaid rules, 100% of the assets at risk can be protected for the wife, giving him immediate eligibility.
