BELLEVUE, WA., MAY 6, 2013—Long Term Care Associates, Inc. (LTCA) today urged members of both parties to support H.R. 1703, "The Medicaid Program Integrity Act of 2013". Sponsored by Rep. Charles Boustany, Jr. (R-LA), the deceptively simple Act would make great progress in reforming America's distressed public system of long-term care financing.

"Most long-term care in the United States is funded by Medicaid, even though the program was designed as a safety net for our neediest," explained Stephen D. Forman, LTCA's senior vice-president. "When too many middle-class and affluent take advantage of Medicaid's scarce resources, a chain reaction occurs: reimbursement rates decline, quality suffers, care grows less accessible, and choices diminish."

H.R. 1703 addresses the twin loopholes which extend Medicaid coverage to so many middle-class and affluent in the first place:

  1. It would allow States to reduce their home equity exemptions to $50,000 (from their present 2013 rate of $536,000, and in many states as high as $802,000; both indexed for inflation), and
  2. It would repeal the "Maintenance of Effort" requirement imposed on States as a result of the Affordable Care Act (which prevents States from tightening income and asset eligibility requirements)
    Since most Americans' net worth is held in their homes—as home equity—the vast majority can, and do, qualify for Medicaid LTC without "spend down" or "transfer of assets" at all. With nothing at risk, few ever plan responsibly for long-term care.

Forman continued, "Democrats generally believe in robust entitlement programs which tend to our nation's neediest, whose viability H.R. 1703 helps preserve. Republicans generally favor belt-tightening, fiscally responsible programs, a concept which is central to the Act's design."

"As we've done with many Bills in the past, LTCA is again proud to step up and be the voice of our peers as we urge our neighbors and colleagues to contact their Representatives and help support passage of the Medicaid Program Integrity Act of 2013."

About LTCA

With roots dating back to 1972, Long Term Care Associates, Inc. (LTCA) has now entered its 5th decade focused exclusively in the LTC insurance marketplace. Headquarted in Bellevue, WA, the company is proud to serve over five million members of sponsoring organizations, and count the claim payments to its clientele in the tens of millions of dollars

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For Media Inquiries Contact:

Stephen D. Forman, CLTC
Senior Vice-President

Long Term Care Associates, Inc.
11900 NE 1st St., #115
Bellevue, WA 98005

425-462-9500 ext. 205