An applicable individual is one who has been certified by a physician as needing help with at least 3 activities of daily living, such as eating, bathing, dressing. We hope that our joint support will encourage members of Congress from both political parties to reach across the aisle and to work together with the Administration to help Americans meet their growing long-term care needs. But without substantial assistance, the full cost of long-term care is out of reach of most families. Helping people pay for these services directly and helping them purchase quality insurance products should be part of our nation's answer to this long-term care need. Many older people who need long-term care today are maintaining some of their independence by relying on family members for assistance.
Caregivers often lose wages and benefits, sometimes even jobs, to care for their loved ones.
However, the vast majority of Americans who have long-term care insurance purchase individual policies. These people may deduct long-term care insurance premiums only if they itemize deductions and only if their medical expenses exceed 7.5 percent of adjusted gross income. Only 4.5 percent of all tax returns report medical expenses as itemized deductions. Clearly, we cannot solve the entire long-term care crisis facing America's families this year. And, our two organizations are unlikely to agree on a common agenda to achieve that.