The Tories have pledged to allow people to keep their assets after their long-term care cover cash runs out.
In a speech to the free market thinktank Politeia in London last week, Tory Shadow Health Secretary Dr Liam Fox said Labour punishes people who take out LTC cover by forcing them to surrender their assets to the state once their cover runs out.
Outlining his party's LTC policies, Fox said that people should not be penalised for making LTC provision.
He said a Conservative Government would not force them to hand over their assets if their cover runs out because of the length of stay in a residential home or the level of care they need.
The Tory Party would also consider introducing tax breaks for those who take responsibility for elderly relatives, which Fox says would reduce the role of the state and increase personal choice and freedom.
Fox said relief would be extended to other forms of savings such as lump-sum payments from pension schemes.
The policies have not been costed yet but he said the party, if elected, would bring them in as soon as possible.
Fox said: “We have to
encourage people to provide for the possibility of needing long-term care.
If they have done so to a prudent level but the provision runs out and they need to use state-funded care later, it is only reasonable that more of their assets should be protected and allowed to cascade to the next generation.”
PPP LifetimeCare LTC marketing manager Paul Bennett says: “While the recognition that insurance has a role to play is welcome, they would have to set a minimum level of investment or timeframe.”