NAIFA government relations NAIFA Participates in Federal Interagency Task Force Meeting

The association called for more LTCI options to benefit consumers and for policies that encourage the purchase of LTCI.

By Ayo Mseka

As the leading advocacy voice for insurance and financial-services professionals, NAIFA is always on the lookout for ways to advocate for you and the clients you serve. Toward that end, NAIFA Trustee Connie Golleher, CLTC, LACP, and NAIFA Senior Vice President of Government Relations, Diane Boyle, represented financial professionals at a public meeting of the Federal Interagency Task Force on Long-Term Care Insurance.

Golleher and Boyle told participants at the meeting that consumers would benefit from more options in the long-term care insurance (LTCI) market, as well as from public policies that encourage people to purchase LTCI. NAIFA supports legislation that would allow employees to buy LTCI through contributions to their employersponsored “cafeteria plans” or through flexible spending accounts. Tax incentives to encourage the purchase of LTCI would also be effective.

NAIFA was the only group representing insurance agents and financial professionals at the Long-Term Care Insurance meeting. The purpose of the Task Force, according to a 2017 Treasury Report, is to propose federal policies to work alongside state-level reforms to “stabilize and potentially regrow the private long-term care insurance market” and to address the costs of providing long-term care to American consumers.

Convened by the Treasury Department, the Task Force includes representatives from the Department of Health and Human Services, the Centers for Medicare and Medicaid Services, the Internal Revenue Service, the Office of Management and Budget, and the Department of Labor, as well as Treasury’s Office of Tax Policy and the Federal Insurance Office.

The need for LTC

The need for LTC has never been greater. Even after decades of major advances in technology and health-care services, there usually comes a time when relatives and friends are no longer able to care for a family member who needs help in carrying out the basic tasks of daily living. The next step is usually obtaining professional care at home or moving to an assisted living facility or a nursing home. Because of the level of care required, personal financial resources and insurance benefits are often quickly exhausted.

It is therefore imperative that private LTCI play a significant role in the financing of long-term care services, particularly with today’s baby boomer generation. LTCI can ensure that the significant health-care expenses that will occur with advanced age are met without placing a burden on one’s family or depleting other financial assets.

Expanding the reach and accessibility of long-term care to better protect and serve consumers has always been a major goal of NAIFA.

In light of these circumstances, NAIFA has always supported proposals to increase consumer options in the LTCI market and incentivize the purchase of LTCI. Congress should enact legislation to facilitate access to LTCI, such as permitting workers to buy LTCI with contributions to their employer-sponsored “cafeteria plans” or flexible spending accounts (FSAs) and enacting tax incentives to encourage the purchase of LTCI. Such reforms would help ensure that Americans have LTCI, which will enable them to maintain their independence and protect them from devastating LTC c osts.

Expanding LTC’s reach

Expanding the reach and accessibility of long-term care to better protect and serve consumers has always been a priority for NAIFA. For example, the association recently launched the Limited & Extended Care Planning Center, with the help of more than a dozen founding partners, to maximize professional and consumer awareness of LECP and improve the distribution of limited and extended care solutions. Through thought leadership, events, educational resources, research, networking and advocacy, the LECP Center leverages technology to increase client conversations, build trusted relationships and expand distribution, while raising consumer awareness of the wide range of LECP products currently available in the market.

For more information about the LECP Center, visit www.naifa.org/lecp.