CHANGES AHEAD FOR LONG TERM CARE IN 2010 AND BEYOND

    

The new healthcare law, called the PATIENT PROTECTION AND AFFORDABLE CARE ACT, brings Medicare and Medicaid provisions and payouts to millions more Americans with a national voluntary long term care program.

The CLASS ACT (COMMUNITY LIVING ASSISTANCE SERVICES & SUPPORT ACT) will require participants to pay a monthly premium, covered on a guaranteed-issue basis.  Benefits are expected to range form $50 to $75 per day for long term care but ONLY AFTER FIVE YEARS OF PAYING PREMIUMS.  It is planned to be implemented in 2012 or 2013.

Here are some aspects of alternations to the American healthcare system:

?            Elderly and disabled individuals in many states may be forced to move to nursing homes under Medicaid´s "institutional preference.

?            Nursing home residents and other long term care recipients will be protected from abuses by provisions.

?            Revisions in Medicare Part D will close the "doughnut hole" coverage gap

?            Starting June 2010, early retirees will have temporary re-insurance to offset the cost of expensive health claims for employers who provide health benefits to retirees age 55-64.

?            Medicare premiums will increase for singles earning over $200,000 and couples earning over $250,000.  Investment income will also be subject to Medicare tax (some income limits apply).

?          The shortfall already in place for reimbursement from Medicaid to nursing homes will be further impacted because of about $15BB worth of reimbursements being cut.

You may have questions such as,

3;if CLASS ACT is not being implemented until about 2012 or 2013, should I risk waiting to cover any possible long term care needs?

3;will the public plan, CLASS ACT, cover costs of long term care services, and what are these services likely to cost?

3;Can I buy BOTH the public plan and a private one, and does that make sense for me to do?

3;With the public plan, can I live at home if I need long term care?

3;Which plan will help me keep living the lifestyle I´ve become accustomed to?

3;The public plan requires 5 years of paying in premiums ? how does this compare with private long term care plans?