Texas lawmakers OK life settlement LTC financing bill

The state would not be able to implement the law if the state Health and Human Services Commission found that implementing the law was not cost-effective or feasible, according to the bill text.

In an analysis of the possible effects of the bill on state finances, Ursula Parks, director of the state Legislative Budget Board, questioned whether it is possible for state agencies to implement the law.

The provision letting users of the law choose their own LTC providers could increase state Medicaid program costs, Parks said.

"The requirement that [the state health commission] not implement any provision if determined that implementation is not cost-effective or feasible would make it unlikely that the department would be able to implement the provisions of the bill since they are likely to increase costs to the state," Parks said.

Alan Buerger, chief executive officer of Coventry First, a life settlement company, put out a statement welcoming passage of the bill.

"This legislation is a private-sector solution to a public policy crisis in our nation today," Buerger said. "Investors in life settlements are now directly enabling individuals to meet their long-term care needs, while helping states offset the growing costs of Medicaid."

See also:

• Medicaid life settlements could bring relief
• Buerger: Life settlement industry must evolve
• How to spot a life settlement opportunity