Navigation Links
The CLASS Act: Retirement In-Security
Date:7/28/2009

WASHINGTON, July 28 /PRNewswire-USNewswire/ -- Well-intentioned legislation aimed at addressing the financial burdens faced by Americans who need long-term care services could leave elderly people exposed to substantial and unexpected costs, said Frank Keating, president of the American Council of Life Insurers (ACLI).

Under debate as part of health care reform, the Community Living Assistance Services and Supports (CLASS) Act would provide those who participate in a government-sponsored program $50 per day for long-term care services. Participants would have to pay a monthly premium that would be adjusted annually to maintain the program's solvency.

In a video and other materials available at www.acli.com, Keating explains the problems with the CLASS Act.

"The benefits received by program participants are a fraction of the real cost of long-term care services. Nursing home care now averages $203 per day and will rise to $740 per day in 30 years. Round-the-clock home health care services now cost $1,100 per day and will likely rise to $2,000 within five years. The $50-a-day benefit under the CLASS Act leaves a substantial cost gap," ACLI President and CEO Frank Keating said.

"It is very likely that many people will believe their long-term care needs are addressed by their participation in the program. In fact, studies show that many Americans already mistakenly believe Medicare covers their potential long-term care needs. The CLASS Act will serve to add to the confusion, and people will not take the appropriate steps on their own to address this crucial financial planning issue," Keating said.

Moreover, a recent independent study raises serious questions about the viability of the program, with a projected insolvency by 2022 (http://www.actuary.org/pdf/health/class_july09.pdf). It would take significant increases in premiums or infusion of billions of federal dollars to keep afloat such an entitlement program, Keating said.

"The fact is, no long-term care policy based on such a weak financial footing would be allowed on the market today," he said.

"Simply put, the federal government should not get into the business of providing long-term care insurance. It sets the stage for doing more harm than good to consumers," he said.

The American Council of Life Insurers (ACLI) is a Washington, D.C.-based trade association whose 340 member companies account for 93 percent of the life insurance industry's total assets in the United States, 94 percent of life insurance premiums and 94 percent of annuity considerations. In addition to life insurance and annuities, ACLI member companies offer pensions, including 401(k)s, long-term care insurance, disability income insurance and other retirement and financial protection products, as well as reinsurance. ACLI's public Web site can be accessed at www.acli.com.


'/>"/>
SOURCE American Council of Life Insurers
Copyright©2009 PR Newswire.
All rights reserved

Related medicine news :

1. Kingfisher Healthcare (KFH) Achieves World Class Quality Platform
2. ADDA Kicks Off AD/HD Awareness Campaign with Four Regional Conferences Beginning Sept. 29 and Series of Fall Teleclasses
3. A classic method for modeling skin cancer is featured in Cold Spring Harbor Protocols
4. First Circuit Court of Appeals Rules Against Philip Morris in Lights Class Action
5. Theater Classes Help Docs Bedside Manners
6. Tarpinian: Misclassification is Theft
7. New class of RNA molecules may be important in human cancer
8. Instrumentation Laboratory Named Top of Class by Respiratory Care Managers
9. Consumer Group: Hillary Clintons Mandatory Health Insurance Purchase Plan is an Act of War on the Middle Class Family That Cant Afford $12k Policy
10. SATELLITE BROADCAST: Consumer Group Says Hillary Clintons Mandatory Health Insurance Plan is an Act of War on the Middle Class that Cant Afford $12k Policy
11. Law Offices of Howard G. Smith Announces Class Action Lawsuit Against LCA-Vision Inc.
Post Your Comments:
*Name:
*Comment:
*Email:
(Date:5/5/2016)... ... (PRWEB) May 05, 2016 , ... Talent Tech Labs ... HireNurses, on the eve of National Nurses Week (May 6-12). Currently, HireNurses ... employers. With their enrollment into the Talent Tech Lab Virtual Incubation program, they will ...
(Date:5/5/2016)... ... May 05, 2016 , ... Chronic stress can have a silent, yet dangerous, ... the immune system and increase inflammation, both of which raise the risk of heart ... heart disease program at Harvard-affiliated Massachusetts General Hospital. Chronic stress also can lead to ...
(Date:5/5/2016)... Dallas, Texas (PRWEB) , ... May 05, 2016 ... ... and relationship-marketing firm, honored finalists and winners Tuesday evening, May 3, at the ... Dallas, Texas. , Scott Pettigrew, Vice President and Chief Security Officer of ...
(Date:5/5/2016)... , ... May 05, 2016 , ... If you don’t ... marks on your skin, you may want to consider a treatment that some have ... Advanced Dermatology P.C. , Microneedling, also known as skin needling, is a ...
(Date:5/5/2016)... ... May 05, 2016 , ... Pigment Laser Tattoo Removal Center is proud to ... new PiQo4™ laser, the first 4-wavelenth picosecond laser to receive FDA Clearance. This ... laser on the market. Jeremy Miller, Tattoo Artist and former reality show contestant ...
Breaking Medicine News(10 mins):
(Date:5/5/2016)... May 5, 2016 ... the  "Europe Systemic Lupus Erythematosus Market and ... their offering.       (Logo: ... research Europe Systemic Lupus Erythematosus Market and ... insights into Systemic Lupus Erythematosus pipeline products, ...
(Date:5/4/2016)... ZIONA, Israel , May 4, 2016 /PRNewswire/ ... announced today that BiondVax,s CEO, Dr. Ron Babecoff , ... New York City . On ... at Pioneers 2016, a conference presented by Joseph Gunner ... Hotel. The BiondVax presentation that Dr. Babecoff will ...
(Date:5/4/2016)... Jersey , May 4, 2016 ... successful completion of an alternative public offering (APO). This ... owned operating company, Valeritas, Inc. and a private placement ... stock at $5.00 per share. Under the ... May 3, 2016, Valeritas Holdings, Inc. will trade on ...
Breaking Medicine Technology: