U.S. Chamber Survey Shows Long-Term Care Costs, Planning Critical for Employers and Workers

WASHINGTON, D.C. — The United States Chamber of Commerce today called for greater incentives for businesses and individuals to acquire long-term care insurance and released a new study that shows business owners are concerned about the impact of long-term care for a growing elderly population.

"Caring for a parent or relative can be a huge burden on families if they haven't planned ahead," said Chamber President and CEO Thomas Donohue. "With proper planning, Americans can secure their own future and ensure access to the broadest range of caregiving options."

In a survey of 550 chamber members, nearly two-thirds said that they know someone who currently needs assistance with their daily living activities such as eating, dressing, or bathing. Almost half said they have not yet planned for long-term care, and many reported that they plan to use Medicare funding to cover the costs, despite the reality that Medicare only covers skilled care for a very limited period of time and generally does not cover the types of unskilled care that are associated with long-term care needs.

"Last year, the Chamber launched a tax-qualified long-term care insurance product for thousands of business owners and their employees provided by Massachusetts Mutual Life Insurance Company," said Donohue. "The survey reinforces that there is a significant need out there and we need to help business owners and employees so they can care for their aging family members without a heavy financial or personal toll."

The Chamber wants Congress to permit employers to offer long-term care benefits through employee benefit cafeteria plans, which permit employees to pay costs on a pre-tax basis.

The U.S. Chamber of Commerce is the world's largest business federation, representing more than three million businesses and organizations of every size, sector and region.

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