Partnership Assurance says under Andrew Dilnot’s longterm care proposals, people going into residential care would face costs that are substantially higher than the lifetime contribution cap proposed.
The Dilnot commission report, published last July, calls for a cap on individuals’ lifetime contributions to social care costs of between £25,000 and £50,000, with £35,000 the recommended figure. It also suggests increasing the means-testing threshold from £23,500 to £100,000.
The cap would not cover “hotel costs” of care funding such as accommodation and food but the commission has called for a standard limit on general living costs in care of between £7,000 and £10,000 a year.
Speaking at an Age UK conference in London last week, Partnership managing director for care Chris Horlick said: “It seems to me if you are going into residential care, the notion of a cap disappears completely. Under the Dilnot proposals, the consumer would have to pay the £10,000 contribution, that is, about £190 a week towards general living costs.
“They would have to pay everything above the local authority rate and would have to pay the first £35,000 of the remaining cost. That means a self-funder living for four years would still end up paying 90 per cent of the cost of their care. Where is the £35,000 cap in that?”