HF 586

as introduced - 84th Legislature (2005 - 2006) Posted on 12/15/2009 12:00am

A bill for an act
relating to human services; authorizing a long-term
care partnership program; modifying medical assistance
eligibility requirements under certain circumstances;
defining approved long-term care insurance policies;
limiting medical assistance estate recovery under
certain circumstances; proposing coding for new law in
Minnesota Statutes, chapter 256B.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

new text begin [256B.0571] LONG-TERM CARE PARTNERSHIP.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin For purposes of this
section, the following terms have the meanings given them.
new text end

new text begin Subd. 2. new text end

new text begin Home care service. new text end

new text begin "Home care service" means
care described in section 144A.43.
new text end

new text begin Subd. 3. new text end

new text begin Long-term care insurance. new text end

new text begin "Long-term care
insurance" means a policy described in section 62S.01.
new text end

new text begin Subd. 4. new text end

new text begin Medical assistance. new text end

new text begin "Medical assistance" means
the program of medical assistance established under section
256B.01.
new text end

new text begin Subd. 5. new text end

new text begin Nursing home. new text end

new text begin "Nursing home" means a nursing
home as described in section 144A.01.
new text end

new text begin Subd. 6. new text end

new text begin Partnership policy. new text end

new text begin "Partnership policy" means
a long-term care insurance policy that meets the requirements
under subdivision 10.
new text end

new text begin Subd. 7. new text end

new text begin Partnership program. new text end

new text begin "Partnership program"
means the Minnesota partnership for long-term care program
established under this section.
new text end

new text begin Subd. 8. new text end

new text begin Program established. new text end

new text begin (a) The commissioner, in
cooperation with the commissioner of commerce, shall establish
the Minnesota partnership for long-term care program to provide
for the financing of long-term care through a combination of
private insurance and medical assistance.
new text end

new text begin (b) An individual who meets the requirements in this
paragraph is eligible to participate in the partnership
program. The individual must:
new text end

new text begin (1) be a Minnesota resident;
new text end

new text begin (2) purchase a partnership policy that is delivered, issued
for delivery, or renewed on or after the effective date of this
section, and maintain the partnership policy in effect
throughout the period of participation in the partnership
program; and
new text end

new text begin (3) exhaust the minimum benefits under the partnership
policy as described in this section. Benefits received under a
long-term care insurance policy before the effective date of
this section do not count toward the exhaustion of benefits
required in this subdivision.
new text end

new text begin Subd. 9. new text end

new text begin Medical assistance eligibility. new text end

new text begin (a) Upon
application of an individual who meets the requirements
described in subdivision 8, the commissioner shall determine the
individual's eligibility for medical assistance according to
paragraphs (b) and (c).
new text end

new text begin (b) After disregarding financial assets exempted under
medical assistance eligibility requirements, the commissioner
shall disregard an additional amount of financial assets equal
to the dollar amount of coverage utilized under the partnership
policy.
new text end

new text begin (c) The commissioner shall consider the individual's income
according to medical assistance eligibility requirements.
new text end

new text begin Subd. 10. new text end

new text begin Approved policies. new text end

new text begin (a) A partnership policy
must meet all of the requirements in paragraphs (b) to (g).
new text end

new text begin (b) Minimum coverage shall be for a period of not less than
two years and for a dollar amount equal to 24 months of nursing
home care at the minimum daily benefit rate determined and
adjusted under paragraph (c). The policy shall provide for home
health care benefits to be substituted for nursing home care
benefits on the basis of two home health care days for one
nursing home care day.
new text end

new text begin (c) Minimum daily benefits shall be $130 for nursing home
care or $65 for home care. These minimum daily benefit amounts
shall be adjusted by the commissioner on October 1 of each year
by a percentage equal to the inflation protection feature
described in section 62S.23, subdivision 1, clause (1).
Adjusted minimum daily benefit amounts shall be rounded to the
nearest whole dollar.
new text end

new text begin (d) A third party designated by the insured shall be
entitled to receive notice if the policy is about to lapse for
nonpayment of premium, and an additional 30-day grace period for
payment of premium shall be granted following notification to
that person.
new text end

new text begin (e) The policy must cover all of the following services:
new text end

new text begin (1) nursing home stay;
new text end

new text begin (2) home care service;
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new text begin (3) care management; and
new text end

new text begin (4) up to 14 days of nursing care in a hospital while the
individual is waiting for long-term care placement.
new text end

new text begin (f) Payment for service under paragraph (e), clause (4),
must not exceed the daily benefit amount for nursing home care.
new text end

new text begin (g) A partnership policy must offer the following options
for an adjusted premium:
new text end

new text begin (1) an elimination period of not more than 100 days; and
new text end

new text begin (2) nonforfeiture benefits for applicants between the ages
of 18 and 75.
new text end

new text begin Subd. 11. new text end

new text begin Limitations on estate recovery. new text end

new text begin For an
individual determined eligible for medical assistance under
subdivision 9, the state shall not seek recovery under the
provisions of section 256B.15 against the estate of the
individual or individual's spouse for medical assistance
benefits received by that individual.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin (a) If any provision of this section is
prohibited by federal law, no provision shall become effective
until federal law is changed to permit its full implementation.
The commissioner of human services shall notify the revisor of
statutes when federal law is enacted or other federal approval
is received and publish a notice in the State Register. The
commissioner must include the notice in the first State Register
published after the effective date of the federal changes.
new text end

new text begin (b) If federal law is changed to permit a waiver of any
provisions prohibited by federal law, the commissioner of human
services shall apply to the federal government for a waiver of
those prohibitions or other federal authority, and that
provision shall become effective upon receipt of a federal
waiver or other federal approval, notification to the revisor of
statutes, and publication of a notice in the State Register to
that effect.
new text end