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Home : Consumers : Long-term care : Long-Term Care Partnership Program
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Long-Term Care Partnership Program
The North Dakota Long-Term Care Partnership Program is a collaboration between state government and insurance companies. Under this partnership, applicants who purchase qualifying long-term care insurance policies can access Medicaid coverage while retaining assets they would normally be required to spend on their long-term care.
Only long-term care insurance policies issued after Jan. 1, 2007, the effective date of North Dakota's Medicaid Plan Amendment, are eligible for the program.
North Dakota Long-Term Care Partnership policies also qualify for an annual $250 North Dakota income tax credit.
The tax credit appears on line 16 of Schedule ND-1TC. You are allowed a tax credit for premiums you pay for a partnership plan long-term care insurance policy that covers you or your spouse, or both. To qualify, you must be a North Dakota resident at the time you pay the premiums.
A partnership plan policy is a special type of long-term care insurance policy that:
• Meets specific consumer protection and federal income tax law requirements,
• Is recognized by North Dakota for Medicaid benefit purposes, and
• Provides the proper inflation protection based on the insured individual's age at time of purchase.
An insurance company is required to provide you with a notice certifying the policy as a partnership policy at time of issuance. Upon audit, you must be able to provide a copy of that notice (or a more current notice, if requested) to support the credit claimed.
Important: There are long-term care insurance policies that ARE NOT partnership plan policies for which the premiums are not eligible for this credit. Therefore, you must check your policy or contact your insurance company to confirm that it is a partnership plan policy.
The credit is equal to the premiums you paid during the tax year, up to a maximum credit of $250 (or $500, if both you and your spouse are insured by the policy).
For more information, contact the Office of the State Tax Commissioner at 701-328-7088.
More information
More information about the Long-Term Care Partnership Program may be obtained by contacting the North Dakota Department of Human Services.
Click here for a list of approved long-term care plans.
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