With an increase in the LTC demand and a decrease in providers, the cost of care is skyrocketing, and states are feeling the pressure of finding a solution. California and Utah are among the states considering legislation to mandate LTC coverage through an employee-funded program, potentially through payroll taxes. While there is no specific information on any potential state programs yet, we know that a consideration may be allowing individuals who have qualified private coverage the ability to opt out of a state program. Washington is the only state that has implemented a state plan so far, requiring all Washington workers to pay a 0.58% payroll tax. Workers who enrolled in private coverage, like the one we are offering, were able to opt out of the payroll tax.
Major medical, disability, Medicare, and Medicaid provide limited coverage, if at all, resulting in individuals depleting their assets to pay for care. LTC coverage is an important part of financial planning, and our new benefit offering is meant to be a starting point to help address it.