December 9, 2009


Letters Editor
Time Magazine

To the Editor,

Regarding “Should Long-Term Care Insurance Be Part of Health Reform?” (December 8, 2009): The federal government should not establish a long-term care program that is destined for failure as is the case with the CLASS Act. Ms. Pickert’s article correctly states that two government agencies, the Congressional Budget Office (CBO) and the Center for Medicare and Medicaid Studies (CMS), said the program will eventually pay out more than it collects in premiums, adding to the nation’s deficit. CBO said this will start in 2029; CMS concluded it would begin in 2025—just about the time many participants will begin to require long-term care.

Clearly, the CLASS Act is unsustainable. This view is shared by the majority of U.S. Senators who voted in favor of an amendment to strip the CLASS Act from health care reform. While short of the 60 votes necessary to strike the proposal, the vote was nonetheless clear evidence of the program’s unpopular design.

Addressing Americans’ long-term care needs is a laudable goal that will require serious, responsible solutions and not a financially unsound government program like the CLASS Act. 

Sincerely,

Frank Keating

Frank Keating is President of the American Council of Life Insurers. He is also a former two-term Oklahoma governor.