The U.S. Department of Health and Human Services is poised to launch a new insurance plan designed to help nursing homes purchase home insurance.
The proposal would allow nursing homes to sell policies that cover a broader set of health and other benefits than what’s currently offered by their insurers.
In theory, nursing homes could charge their residents a lower rate, and some states have already passed similar laws, but many residents are skeptical of the proposed changes.
The proposed plan will likely be implemented in 2020, but there are some caveats.
Under the proposal, the cost of the policy would be set at the rate of inflation, which is expected to be well below the rate that most insurers are paying.
But if you don’t like that, you could buy the policy through a broker or through a government agency.
It would also allow for a lower-than-average rate of premium growth.
It’s a much less likely scenario than the ones being discussed by the insurers, which aim to lower premiums by cutting down on the number of policies they sell.
The new plan would also include a premium freeze for three years.
“We’ve been talking about this for a long time,” said Nancy E. Goss, president and CEO of the National Association of Insurance Commissioners.
“I think this is a real game changer.
I don’t know that we’ve had a moment in this country where this has happened, and it’s going to be great for nursing homes and for families.”
In 2018, nursing home insurance premiums in New York City were $4,200 a year, about half of the average.
For 2018, the average rate was $5,400.
According to a survey by the New York Insurance Information Center, the median home price in the city is $4.6 million.
That’s about $20,000 more than it cost to buy insurance through an insurer.
But a nursing home’s home insurance premium would likely be higher than that, too.
According the New America Foundation, the price of a nursing-home policy that covers 100 percent of the facility’s health care costs was $1,095 a year in 2018.
In New York, that’s about a quarter of the cost.
But that’s just a fraction of the $5.4 million nursing home premiums that were purchased by insurers.
“If you don�t want to pay that much, you can still get a better rate than the average,” said Goss.
She also said that the proposed plan could be more cost-effective if the insurers had to cover other benefits.
But nursing homes are usually the first to be covered in a new health insurance plan, so the proposed rule will likely help to push them over the top.
“There is a lot of concern among residents that the government is going to try to push these insurers to cover more of their benefits, and that would hurt nursing homes,” said Erika Stanglin, vice president for health and social care at the American Hospital Association.
“That’s not the intent of the ACA, but it is what is happening.”
While the proposal is likely to be welcomed by many residents, some critics are concerned about what it could mean for other patients in nursing homes.
“It is an important piece of legislation that could help a nursing facility compete with the other providers in the market,” said Mark Rosenblatt, president of the New England Alliance for Care Organizations.
Rosenblat also said he doesn’t know how much the insurance companies will pay for the new plan.
“In some cases, we don’t even know if the nursing home has been in the program long enough,” he said.
“They have a long history of paying out-of-pocket.”
Rosenblad added that the plans are being marketed by the Department of Labor as a way to help pay for programs that support working people and lower health care expenditures.
It is unclear if the proposed plans would be fully subsidized by the government or if they would be paid by insurance companies, and the proposed rate caps would probably mean the premiums would be high for some patients.
“Insurance is not a silver bullet for our healthcare system,” said Rosenblamp.
“But this is an exciting piece of progress that could actually help the health care system in a very tangible way.”