Published by Trustmark Voluntary Benefits on May 28th, 2024



By: Brett Daniel, Executive Director of National Accounts, and Kelly Marcus, Regional Sales Director, Capital

Brett:

In 2024, it’s no secret that there’s a need for long-term care (LTC)—it's an integral part of all our futures. But that wasn’t always the case. While LTC insurance had been on the market for quite some time, it certainly did not have the same spotlight as it does today. It wasn’t until the Washington (WA) Cares Fund was signed into law that it really began to get national attention. Washington became the first state to implement a state-funded long-term care program and the industry conversation around long-term care has never been the same.

One of the driving factors of WA introducing the WA Cares Act was due to the amount the state was spending on Medicaid to cover LTC needs. According to the research by Kaiser, WA was recorded to have spent $5.05b on Medicaid in 2021 alone, with 23% spent directly on LTC1. While some states are not spending nearly as much on Medicaid, the reality is that every state is spending a resounding amount of Medicaid funding on LTC, and that number is continuing to grow year over year. 


[Map of US states showing Medicaid spend and the % spent specifically on LTC in 2021]

As a result, many states are considering similar legislative solutions to WA to combat the enormous Medicaid budgets, so it shouldn’t come as a surprise that the conversation surrounding LTC is likely to remain a prominent discussion for the foreseeable future. But it begs the question: where does that leave all the stakeholders involved? 

Kelly:

That’s why Brett and I wanted to introduce this LTC blog series, Care takes: Trustmark perspectives on long-term care. Regardless of legislation, everyone—from the consumer & employers to the insurance brokers and legislators—all have unique perspectives that need to be accounted for in the ever-growing conversation surrounding LTC. 

Understanding these unique perspectives can empower you to be a leader in the LTC discussion so that you can educate clients on why LTC is here to stay, its importance in the voluntary industry, and how we can collectively prepare for future changes.

...

Over this four-part blog series Brett & I will expand the LTC discussion by covering the unique perspective of four critical stakeholders: The Consumer, The Producer, The Employer, and The Legislator.

I our first blog I will discuss the perspective of arguably the most important LTC stakeholder—the consumer. 

To stay up to date on other important LTC legislative updates from Trustmark Voluntary Benefits, be sure to follow us on our LinkedIn and X.

 

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1 Medicaid State Fact Sheets, Kaiser Family Foundation. June 2023.