CLASS Program

We were recently able to be a part of a conference call conducted by the National Long Term Care Network. The call was broadly focused on the 'CLASS' - Community Living Assistance, Services and Supports - portion of the Health Care Reform Act. This is a voluntary program. If employers want to participate, they must OPT IN. However, if an employer does opt in then all employees are automatically included unless they OPT OUT.

A few other high-points:

• No penalties for employers who don't opt-in, no tax or other enticements to opt-in, either.
• Pays benefits for "non-medical services and supports that the beneficiary needs to maintain his or her independence at home or in another residential setting of their choice in the community, including (but not limited to) home modifications, assisting technology, accessible transportation, homemaker services, respite care, personal assistance services, home care aides and nursing support."
• Takes effect 1/1/2011, but gives the Secretary of the HHS until 10/1/2012 to come up with all the program requirements then asks for public comment.
• Premiums must be paid for 60 months before benefits can be received
• Guaranteed issue
• Unlimited benefit period
• Triggers for benefits expected to be similar to standard "long term care" definition but may not exactly be the same. May be a bit more stringent.
• By statute, must be supported by premiums, must assure solvency for 75 years and is prohibited from using taxes.
  

Of course, more information will continue to become available and we will keep you up to date!