Pessimism Over Proposed Healthcare Reforms in US Senate

Democrat officials in US Senate have mentioned that discussion on healthcare legislation scheduled later this week would incorporate a new long-term care insurance program to discourage the elderly and disabled patients from visiting hospitals.

Harry Reid, a Democrat Senate majority leader from Nevada spoke on condition of anonymity that the final decision on healthcare reforms has not been made as yet added that voluntary program to be included in the act to be tabled in the Senate on Wednesday.

The program known as the Community Living Assistance Services and Supports Act, or CLASS Act was given preferential priority by the late Senate Edward M. Kennedy, the former US President. By passing this act in the Senate, the gap in social safety net would get diminished which has so far has received lukewarm response in the current debate raging on US healthcare reforms.

Whether the program would be financially viable from the long-term perspective is being questioned by the fiscal conservatives and government economists. The insurance companies are forming a lobby to have this particular clause deleted from the proposed health-care reforms bill.

With the approval from Obama’s government, the house incorporated the program in its healthcare legislation. The health committee had included this clause in the healthcare bill but was cold-shouldered by the Finance Committee in the US Senate. The approach being adopted by Reid in a combined bill would look into the objections of fiscal conservatives by stipulating that premiums from the program that could not be depended upon in balancing the costs of the broader health care bill.

An average cost of nursing home amounts to $70,000 a year. A homecare attendant charges about $29 on an hourly basis. Currently only the temporary nursing home stays are being covered by Medicare. In order for an elder to qualify for nursing home coverage via Medicaid, Savings earned by middle-class households have to be exhausted.