CLASS Service May be Best Choice for Some Seniors

06/11/2010

Long-term care insurance may provide seniors with the coverage they need to pay for daily assistance.

Some consumers may also benefit from the Community Living Assistance Services and Support program, according to a recent report by SmartMoney.com. This service was included in the Patient Protection and Affordable Care Act of 2009 and provides up to $75 in daily benefits.

"The idea behind it is: How can we keep people at home for as long as possible, and reduce the number of people going into an institutional setting?" Janet Forlini, policy director for long-term services and supports at the National Council of Aging, told SmartMoney.

Unlike long-term care insurance, CLASS does not take pre-existing conditions into consideration. This may make it more affordable for some consumers, while others would be better off looking at the private LTC market, according to the report. Healthy individuals may receive more than $75 in assistance in exchange for low premiums.

All working Americans will be able to enroll for CLASS, which is scheduled to take effect on January 1, 2011. Benefits will not be paid out, however, until 2017.

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