Experts agree on need for long-term care financing overhaul

Health Care and Health Insurance
by Tony Proulx

Today, millions of Americans are already receiving some level of long-term health care services and even more will need it in the coming years and decades. In recent months experts have been closely examining the current system and whether it is working as productively and efficiently as possible.

The general consensus is that the long-term care industry isn't as efficient as it could or should be, according to a new report from the Society of Actuaries. Consequently, there are many ways in which it can be overhauled with a goal of optimizing benefits for consumers, and operating efficiently for insurance providers and government agencies.

There are many aspects to a successful overhaul of the current system. A key component is providing greater information and clarity to Americans purchasing individual long term care insurance policies, the report said. In addition, there is a need to restructure the way in which long-term care insurance is regulated and administered on both the private and public level.

A partnership between coverage providers?
When it comes to what will work best to provide as many Americans with long-term care services, it is generally agreed that both private insurance carriers and the public programs of Medicare and Medicaid will need to be part of the solution, the report said. While some have advocated for an all-public or all-private system, a middle road compromise might actually be the solution that works best for all Americans. More than nine out of ten experts who participated in the study said that the federal government has to become more active when it comes to developing and implementing solutions.

The study discusses many innovative directions. It is a good springboard for additional discussion concerning the efficient use of health care services and the funding for those services. The study is a must read for anyone interested in the long-term care industry.