George W. Bush 2000 On The Issues
Long
Term Care
Governor Bush understands that as
Baby Boomers and their parents age, long-term care needs will become
particularly acute. By 2030, when the last of the Baby Boom generation
reaches retirement, the number of individuals aged 65 or older is
estimated to double from 35 million to nearly 70 million. Therefore, to
ensure that long-term care is available and affordable, as President,
Governor Bush will make the cost of long-term care insurance 100 percent
tax deductible. In addition, to ease the burden of home care, he will
provide an additional personal tax exemption, valued at $2,750, for each
spouse, parent or relative that a caregiver tends to in their home.
Governor Bush’s Approach
Lowering the Cost of Long-Term Care Insurance: Governor Bush recognizes
that long-term care can be expensive, potentially draining one’s life
savings. Today, long-term care costs are met through the federal Medicaid
program and out-of-pocket expenditures, since most private health
insurance plans do not cover long-term care. Indeed, Medicaid expenditures
will have to increase by 360 percent to $134 billion by 2030 to meet
seniors’ long-term care needs.
However, many private, long-term care insurance plans are available.
While the cost of these plans is not insignificant, it is low relative to
the price of a nursing home stay. Thus, Governor Bush’s long-term care
plan is designed to make these private plans more affordable, easing the
financial burden on families and on Medicaid.
Assisting the “Invisible Health Care Sector”: A growing number of
Americans are making the choice to care for loved ones at home. A recent
survey found that at least 57 percent of the frail elderly rely solely on
family and friends for care. Fully 75 percent of these caregivers are
women. In the future, it will not be uncommon for a 95-year-old individual
to rely on assistance from a 90-year-old spouse or 65-year-old daughter or
son. Governor Bush believes we should help alleviate some of the
financial burden for the “invisible health care sector” – those people who
care for family members at home.
Governor Bush’s Proposals
To Make Long-Term Care Insurance More Affordable, as President, Governor
Bush will:
- Provide a 100 percent above-the-line tax deduction for long term
care insurance premiums. Everyone will be eligible for the deduction,
except for those who already receive long-term care coverage through
their employer.
To Ease the Financial Hardships of Caring for Loved Ones at Home,
Governor Bush will:
- Establish an additional personal tax exemption for each elderly
spouse, parent or relative that a caregiver tends to in their home.
This exemption, currently valued at $2750, will relieve some of the
financial constraints that burden many home caregivers.
By helping families plan for long-term care needs, Governor Bush’s plan
will alleviate some of the financial worries of older Americans and
their families. He is committed to ensuring that society respects
America’s seniors, and helps them lead lives of security and dignity.
Source: George W. Bush for President 2000 Web Site |
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