The U.S. Treasury Department has released a report from the Federal Interagency Task Force on Long-Term Care Insurance recommending government actions to foster innovation in long-term care (LTC) product design, improve the efficiency and relevance of LTC product regulation and promote financial literacy on LTC matters.
NAIFA was the only producer group that participated in the Task Force’s July 2019 meeting at the Treasury Department. NAIFA Trustee Connie Golleher told the task force that consumers have a desperate need for LTC planning services and products. She encouraged government support for product innovation, regulatory simplification and the elimination of IRA, 401(k), and 403(b) early withdrawal taxes if funds from those accounts are used to pay LTC insurance premiums. The task force recommends each of these NAIFA suggestions in its report. NAIFA would also support additional tax incentives to encourage consumers to prepare for potential LTC needs.
NAIFA wholeheartedly supports the Task Force’s recommendation for greater emphasis of LTC financial literacy education. The report specifically mentions that NAIFA finds financial literacy education programs valuable. NAIFA’s FinancialSecurity.org website is dedicated to promoting financial literacy for consumers.
NAIFA established the Limited & Extended Care Planning Center, with the help of more than a dozen founding partners, to maximize professional and consumer awareness and improve the distribution of limited and extended care solutions. Through thought leadership, events, educational resources, research, networking and advocacy, the LECP Center leverages technology to increase conversations, build trusted relationships and expand distribution year-round while raising consumer awareness.