One month after issuing its Safeguarding the Future report, the ABI is calling on politicians to look at plans for a third option alongside pre-funded LTC and immediate annuity needs.
Spokesman Jon French says one idea is a public/private sector partnership where the pro-vider takes responsibility for the policy for a set number of years, after which the Government assumes responsibility.
He says: “Once you have that degree of certainty established, we can start developing products. At the moment, there is no certainty over LTC.”
The Department of Health recently launched a six-month LTC debate. A spokesman says: “Funding is a vital part of this debate but it is not just about money. It is also a question of individual choice, enabling people to live as independently as possible for as long as possible.”
Symponia joint managing director Janet Davies says: “It could be the trigger the industry needs to rejuvenate the pre-fun- ded care fees planning market. We just need one pioneering company to take the plunge, others will be guaranteed to follow.”