8 - Long term care Flashcards
Who is the regulator for long term care?
FCA
What is long term care and when is it required
Required when individual becomes ill or suffers disability and unable to carry activities of daily living (ADLs)
What nhs funded nursing care is available
Individuals assessed as needing care in a home are entitled to nursing care allowance which is non means tested and tax free
What Act requires individuals with savings to pay for its own care
Care act 2014
What is the age for free prescription drugs
People over 60
What is the personal expense allowance
£28.25 per week
Who can claim attendance allowance
If pay for own care and need help with personal care and or supervision
How long does a local authority have to apply means tested benefit rules
6 weeks
How is tariff income calculated for ltc support
Savings - lower threshold /250
What income/savings is excluded for me and testing for Ltc
Personal possessions
Surrender values of insurance bonds
In what circumstances is the home excluded from means testing for ltc
If partner, lone parent or relative who is over 60 or under 18 or incapacitated lives there
How could couples avoid value of home being taken into account
Change ownership to tenancy in common and bequeath share to children to benefit surviving spouse
How long is an individualks home is disregarded for in LTC
12 weeks
What is the threshold for assets and personal income for individuals so local authorities cannot force them to sell home?
£23,250
What is deliberate deprivation
Transfer of assets to reduce capital which is illegal and would result in notional income being used anyway
What are the 5 different types of long term care plans
Family care
Professional care
Care at home
Care in care home
Sheltered housing, extra care housing and close care
What is care in care home turn into generally
Normally temporary but can turn into long-term residence
What is generally the issue for most common care at home
Frail elderly or dementia
Long term care insurance (4 types)
- Immediate need plans (lump sum cash)
- Future need (pre-funded polcies)
- WOL options (If part of sum assured pays early if life assured meets definition of care)
- Equity release
What are immediate need plans aka
Impaired life annuity
How do immediate need plans work
Single payment when need care in return for regular tax free payments to home
How long is the cancellation period for immediate need plans
There is none - but 30 day cooling off period
What is the care provider called that covers all care agencies in UK
Care quality commission
Why might deferred care plans be better suited to some?
Cheaper then immediate plans - “peace of mind product”
What are the two pre-funded policies
Traditional insurance
Pre - funded investment-linked policies
Care cash plans
What are the 2 types of equity release plans
Lifetime mortgage and home reversion plan
What is a viatical settlement
Sale of an existing life assurance policy by terminally ill person to an intermediary
