Governors Pushing Tax Credits for Owners of Long Term Care Insurance.

The National Governors Association urged the adoption of a $2,000 tax credit and $200 deduction to encourage individuals to buy long-term-care insurance, saying reforms are needed within and outside of Medicaid to control the program’s soaring costs for caring for the elderly…In a letter to the Medicaid Commission, which is working on a Medicaid reform report for Congress, the governors recommended a combination of federal, employer-based, personal, and community-based approaches. The governors said solutions should encourage personal responsibility for long-term-care costs and discourage reliance on Medicaid.The commission, established by HHS Secretary Mike Leavitt in May 2005, is due to submit its report no later than Dec. 31, 2006.