After the healthcare reform bill (PPACA) passed in March 2010, some people mistook the CLASS Act program as some type of new entitlement.

The Community Living Assistance Services and Supports Act (aka The CLASS Act) is the exact opposite of an entitlement program.


The message the federal government is sending to all of us through the passage of the CLASS Act is:

YOU have to pay for your own long-term care!

The CLASS Act’s $50 per day “average benefit” will only cover a small portion of the $75,000+ per year many Americans pay right now for in-home care.  Most people who want to protect their savings will still need to purchase long-term care insurance to supplement the CLASS Act benefit (or instead of the CLASS Act benefit.)

One of the biggest budgetary problems we face in this country, is that most Americans still believe that Medicare or their medical insurance covers the cost of long-term care.

The CLASS Act helps to address this problem by clarifying that you either have to pay for your own long-term care by using:

  1. your savings,
  2. the “average $50 per day” CLASS Act benefit,
  3. long-term care insurance,
  4. or a combination of these

Most of the ten million Americans who have purchased long-term care insurance, have done so because they’ve seen friends or family forced to spend down their assets before qualifying for Medicaid.  The CLASS Act will help alert the rest of the country to the fact that we all need to prepare for our future long term-care needs.

To learn more about the CLASS Act,
click any of the following links:

13 facts about the CLASS Act

When does the CLASS Act become effective?

Are the CLASS Act premiums projected to be higher or lower than long-term care insurance?

How is the CLASS Act better than a long-term care insurance policy?

Learn how over 37 states have created a new way for you to protect your assets with a government-approved long-term care policy

Scot A. Olson and Carolyn E. Olson image

Stay Informed!

Get instant LTCi industry updates as they happen!

You have Successfully Subscribed!