FOR IMMEDIATE RELEASE: Tuesday, April 06, 2004

Contact: Tim Albrecht (515) 281-5566

 

House passes long term-care insurance bill

Bill will allow Iowans to invest in long-term care insurance without harming their assets

 

(DES MOINES) – The Iowa House passed SF 2183 Monday, a bill which offers incentives for Iowans, older and younger, to invest in long term-care insurance.

 

“This bill helps our residents plan for the future,” said Rep. Tom Sands, R-Columbus Junction, floor manager of the bill. “The time to start planning for tomorrow is today. There are incentives contained in this bill with the express goal of making long term-insurance attractive to Iowa consumers. The value of long term-care is immeasurable, and this will help people realize that.”

 

Long term-care insurance allows an individual to take control of their future needs.  Under current law, Iowans under nursing home care must spend their own assets before being eligible for Medicaid benefits.  Because of this, elderly individuals are often encouraged to allocate their assets to their children in order to be eligible for Medicaid benefits. 

 

SF 2183 was presented by the Iowa House as a way to get Iowans to begin thinking about the value of health care. Another positive measure is that as more people obtain long term-care insurance, the burden will be lifted off the Medicaid program, a state health care program for the poor.

 

“The Medicaid program continues to chip away at the state’s resources, and eventually it will take up an even larger percentage,” said Sands. “By enticing people to invest in this insurance now, we will be able to adequately prepare for future Medicaid recipients. I hope those without this insurance will now take a serious look.”

 

The bill passed 93-0 and now awaits the governor’s signature.

 

“This is government at its best: offering good, common-sense solutions for the people of Iowa,” said Sands. “The consumer has more power as a result of this legislation, and a lifetime of work will pay off in a positive way.”