Preserve Your Legacy

For every dollar that a LTC Partnership insurance policy pays out in benefits, a dollar of personal assets 
can be protected (disregarded during the Medicaid eligibility review) if the individual chooses to apply 
for Medicaid.

LTC Partnership policy requirements:

• LTC Partnership policies look very similar to traditional LTC insurance policies except that all 
Partnership policies must include annual compound inflation protection for individuals under 
age 61 and some form of inflation protection for individuals ages 61 – 76. Inflation protection 
helps the policy keep up with the rising cost of LTC services.

• All Partnership policies must be issued after the program began in Virginia
(September 1, 2007).

• Per federal law, Virginia is not allowed to “grandfather” policies. Current long-term care 
insurance policy holders who wish to obtain a Partnership policy should contact their agent, 
carrier, or the carrier of their choice regarding issuance of a new Partnership qualified policy. 

What is the advantage of a Partnership policy over a non-Partnership LTC insurance policy?

• Partnership and non-Partnership policies are virtually the same except that Partnership 
policies have the added benefit of allowing policyholders to protect a portion of their assets 
if they choose to apply for Medicaid.
Will my Virginia Partnership policy qualify me for dollar-for-dollar asset protection in other states?

• Most likely, although the answer to this question is not fully known at this time. Virginia plans 
to participate in a national reciprocity agreement that is currently under development, but it is 
likely that not all states will participate in this. Also, the applicant will need to meet all Medicaid 
requirements for the new state of residence.
 I exhaust my LTC Partnership policy, will I automatically qualify for Medicaid?

• No! You must still meet level of care requirements (for LTC) and the income and resource 
requirements (minus the amount of assets you can protect from your Partnership policy, 
i.e., the amount of benefits paid out by the insurer on your behalf).

For further information about the Virginia Long-Term Care Partnership visit: or 
contact the Virginia Department for the Aging for a referral to your local Virginia 
Counseling and Assistance Program (VICAP) at 1-800-552-3402

Credit and Citation to information in this writing on Virginia LTCI Partnership to Virginia Department for the Aging