In 1987, RWJF funded four states under its Program to Promote Long-Term Care Insurance to develop what came to be called the Long-Term Care Insurance Partnership model. This was a unique model in which consumers, private insurers and state Medicaid agencies came together in insurance arrangements that guaranteed coverage and financial protection for beneficiaries, business for insurers and budget protection for Medicaid. Despite the success of this model in the four states, Congress enacted legislation that denied it as an option for other states to pursue. The recent Deficit Reduction Act of 2005 has now made this option available to states once again and many are interested in developing their own partnership model. States are under increasing pressure to contain Medicaid costs and long-term care continues to be the largest component of their budgets. The partnership model offers a politically popular approach of using the private market and having consumers take greater personal responsibility for organizing and financing their own long-term care. The partnership model is complex to design and implement given the different political, administrative and marketplace characteristics across the remaining 46 states. For the partnership model to spread, there is a need for seed grants to the states to enable them to create the necessary capacity to undertake this as well as technical assistance to all the stakeholders (states, consumers and insurers). This grant provides support for up to 10 states to develop the partnership with 70 percent of the budget going toward seed grants and technical assistance and 30 percent for administration. This project will be considered successful if 6 or more of the 10 states successfully implement the Partnership program. A "how-to" toolkit for other stakeholders interested in implementing this model will be developed.
Amount Awarded $1,347,510.00
Awarded on: 11/2/2006
Time frame: 12/1/2006 - 8/31/2010
Grant Number: 57815
200 American Metro Boulevard, Suite 119
Hamilton, NJ, 08619-2320