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Obama Behind CLASS Act

President Obama has decided to support Sen. Kennedy's proposal to provide a small benefit for long-term care of perhaps $50 per day after a 5 year waiting period. My opinion on this is it will lull Americans into a false sense of security that they have planned for long-term care. I just wrote my congressman (Bob Corker) that I am not in support of this legislation. Here is a short description of it:

The CLASS Act (S. 697/H.R. 1721) was introduced on March 25 by Sen. Edward Kennedy (D-MA) and Rep. Frank Pallone (D-NJ). This bill would establish a federal program to provide cash benefits, advocacy services, and counseling to meet the needs of individuals who have functional limitations. The program would be voluntary and financed by premiums. Any individuals who are at least 18 years old and working would automatically be enrolled and, unless they opt out, would pay premiums through a payroll deduction or alternative method. Students and poor people would pay about $5 a month and others would pay up to about $65 a month. Any non-working spouse also could enroll and pay premiums through an alternative payment procedure. Program participants would be required to pay into the program for at least five years in order to become eligible for benefits. Individuals who are unable to perform two or more activities of daily living (ADLs) (e.g., eating, bathing, dressing), or who have an equivalent cognitive disability that requires supervision or hands-on assistance to perform ADLs, would qualify for benefits.

Click here to see President Obama's position.

Click here to see the CLASS Act.

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