Long-Term Care Insurance Flashcards
6 cards from real Life and Health California Exam practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 6 Long-Term Care Insurance flashcards as text
Under federal law, a long-term care insurance policy qualifies as a 'tax-qualified' policy if the insured is certified as unable to perform at least how many activities of daily living (ADLs)?
Answer: 2 out of 6
A tax-qualified LTC policy requires that the insured be unable to perform at least 2 of 6 ADLs (bathing, dressing, toileting, transferring, continence, eating) for a period expected to last at least 90 days.
Which of the following is NOT one of the six activities of daily living (ADLs) used to trigger LTC benefits?
Answer: Ambulating (walking)
The six standard ADLs are bathing, dressing, toileting, transferring, continence, and eating; ambulating (walking) is not among the federally recognized ADLs for LTC triggers.
The 'elimination period' in a long-term care insurance policy functions similarly to:
Answer: A deductible expressed in days rather than dollars
The LTC elimination period is a time-based deductible during which the insured pays for care out of pocket before the policy begins paying benefits.
Under California's long-term care insurance regulations, the minimum benefit period for individual LTC policies is:
Answer: 24 months
California requires individual LTC policies to offer a minimum benefit period of at least 12 months, though 24-month and longer periods are standard for compliance with federal tax-qualified status.
A long-term care policy that pays a fixed daily benefit regardless of the actual cost of care is called a(n):
Answer: Indemnity policy
An indemnity LTC policy pays a fixed daily benefit as specified in the policy, regardless of what the actual long-term care services cost.
The California LTC Partnership Program allows policyholders to:
Answer: Protect personal assets equal to the LTC benefits paid when applying for Medi-Cal
The California LTC Partnership Program lets policyholders protect a dollar of personal assets from Medi-Cal spend-down requirements for every dollar of LTC benefits their policy pays.