I would like to take this opportunity to thank you, Mr. Chairman, for your continued leadership in health care, and for conducting today's important and timely hearing. PREPARED STATEMENT OF REPRESENTATIVE JAMES H. BILBRAY MR. CHAIRMAN, JUST LIKE EVERYBODY THERE CAN BE NO DOUBT TODAY, ESPECIALLY IN LIGHT OF LAST YEAR'S REPEAL OF THE CATASTROPHIC ACT, THAT LONG TERM CARE IS NUMBER ONE ON THE PRIORITY LIST OF OLDER AMERICANS. ACCORDING TO THE ESTIMATES I HAVE SEEN, ONLY SOMEWHERE AROUND 10 TO 15 PERCENT OF THE SENIOR POPULATION OF THE UNITED STATES HAS LONG TERM CARE INSURANCE. AS IT NOW STANDS, EVEN A SHORT NURSING HOME STAY CAN BREAK ALL BUT THE WEALTHIEST OF AMERICANS ON THE WHOLE, THE LONG TERM CARE BENEFITS PACKAGE PROPOSED BY THE PEPPER COMMISSION IS SOUND. I WAS ESPECIALLY PLEASED TO SEE THAT THE COMMISSION INCLUDED A THREE MONTH FRONT END COVERAGE THAT WILL COST THE BENEFICIARY NOTHING MORE THAN A MODEST CO-PAYMENT. DUE TO A NUMBER OF FACTORS, INCLUDING THE SEVERITY OF THE ILLNESS AND THE INABILITY OF THE HUMAN BODY TO HEAL AS QUICKLY AS IT ONCE DID, MANY SENIORS REQUIRE SOME RECUPERATION TIME IN A NURSING HOME AFTER THEY HAVE BEEN HOSPITALIZED. WITH NURSING HOME COSTS FREQUENTLY IN EXCESS OF $2,000 PER MONTH, JUST ONE OR TWO SHORT NURSING HOME STAYS LIKE THIS COULD RAPIDLY DEPLETE THE ASSETS OF MANY SENIORS. ADDITIONALLY, I WAS ENCOURAGED BY JUST DOESN'T PROVIDE THIS TYPE OF COV ERAGE, AND IT IS SOMETHING THAT WE SHOULD GIVE VERY SERIOUS CONSIDERATION TO, SINCE IT ALLOWS THE ELDERLY TO REMAIN AS INDEPENDENT AS POSSIBLE WHILE COSTING LESS PER BENEFICIARY THAN FULL NURSING HOME CARE. THE COMMISSION ESTIMATED THE COST OF |