Washington now 1st state with long-term care program

Print Article

OLYMPIA, Wash. (AP) — Washington is the first state in the nation to establish a program to help offset the costs of long-term care, under a new law signed Monday by Gov. Jay Inslee.

Starting in 2025, the program promises a benefit for those who pay into the program, with a lifetime maximum of $36,500 per person, indexed to inflation, paid for by an employee payroll premium.

Inslee, surrounded by a large group of lawmakers and advocates of the measure, called it a “win for all Washington workers.”

“This benefit will be available for those who need it when the time comes to face the fact that daily living presents some challenges, and you need just a little help,” he said before signing the measure. “This is going to make sure that help is there without bankrupting your family.”

Under the new law, premiums of 0.58% of wages will start being collected from employees by 2022. Starting Jan. 1, 2025, people who need assistance with at least three “activities of daily living” such as bathing, dressing or taking medication could tap into the fund to pay for things like in-home care, home modifications like a wheelchair ramp and rides to the doctor.

To be eligible, workers will have had to have paid the premium working at least 500 hours per year for three of the previous six years in which they’re seeking the benefit or for a total of 10 years, with at least five of those paid without interruption.

According to AARP of Washington, 70% of residents 65 and older will require some type of assistance to live independently.

Only an estimated 7 million to 8 million Americans have private long-term care insurance, which is costly and generally requires applicants to pass a health screening. Many assume that Medicare covers long-term care, but that’s not the case except for limited care for skilled nursing or rehabilitation. Qualifying for public coverage under Medicaid, which covers low-income people, involves spending down lifetime savings.

Democratic Sen. Guy Palumbo said that the bill is “not only the morally right thing to do, but it’s also fiscally responsible for the state of Washington.”

“Rather than making people buy their way down into poverty, we’re trying to do the right thing to make sure they can age with dignity,” he said.

Washington isn’t the only state that has contemplated long-term care, but it moved the fastest on creating a defined insurance policy.

Hawaii has adopted a public cash benefit for caregivers of the elderly. California is considering a ballot initiative on a public long-term care financing program.

Under the new law, premiums of 0.58% of wages will start being collected from employees by 2022. Starting Jan. 1, 2025, people who need assistance with at least three “activities of daily living” such as bathing, dressing or taking medication could tap into the fund to pay for things like in-home care, home modifications like a wheelchair ramp and rides to the doctor.

To be eligible, workers will have had to have paid the premium working at least 500 hours per year for three of the previous six years in which they’re seeking the benefit or for a total of 10 years, with at least five of those paid without interruption.

According to AARP of Washington, 70% of residents 65 and older will require some type of assistance to live independently.

Only an estimated 7 million to 8 million Americans have private long-term care insurance, which is costly and generally requires applicants to pass a health screening. Many assume that Medicare covers long-term care, but that’s not the case except for limited care for skilled nursing or rehabilitation. Qualifying for public coverage under Medicaid, which covers low-income people, involves spending down lifetime savings.

Democratic Sen. Guy Palumbo said that the bill is “not only the morally right thing to do, but it’s also fiscally responsible for the state of Washington.”

“Rather than making people buy their way down into poverty, we’re trying to do the right thing to make sure they can age with dignity,” he said.

Washington isn’t the only state that has contemplated long-term care, but it moved the fastest on creating a defined insurance policy.

Hawaii has adopted a public cash benefit for caregivers of the elderly. California is considering a ballot initiative on a public long-term care financing program.

Print Article

Read More

US stocks edge higher after Fed leaves rates unchanged

AP

December 11, 2019 at 1:30 pm | Major U.S. stock indexes edged higher in afternoon trading Wednesday after the Federal Reserve left interest rates unchanged and signaled that it expects to leave them alone in 2020. The central...

Comments

Read More

Parliament vote puts Israel on verge of 3rd election

AP

December 11, 2019 at 1:39 pm | JERUSALEM (AP) — Israel’s parliament on Wednesday approved a preliminary vote to dissolve itself, putting the country on the verge of an unprecedented third election in a 12-month period while giving...

Comments

Read More

AP Top International News at 3:49 p.m. EST

AP

December 11, 2019 at 12:50 pm | US hits Iran with new sanctions, hopes for prisoner dialogue...

Comments

Read More

Fed leaves low rates alone and foresees no moves in 2020

AP

December 11, 2019 at 1:48 pm | WASHINGTON (AP) — The Federal Reserve left its benchmark interest rate alone Wednesday and signaled that it expects to keep low rates unchanged through next year. The Fed's decision follows thre...

Comments

Read More

Contact Us

(509) 765-4561
PO Box 910
Moses Lake, WA 98837

©2019 Columbia Basin Herald Terms of Use Privacy Policy
X
X