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Full coverage· Security· Updated

Israel Proposes Shift from Group Long-Term Care Insurance to Personal Savings Accounts

Israel is considering a new long-term care insurance model that would replace the current system of intergenerational subsidies with personal savings accounts. Individuals under 70 would save for their own future care, with the state covering costs during a transition period. The proposal aims to address the financial instability of the existing system but faces questions about cost, feasibility, and coverage for younger individuals needing care.

2 newsrooms · 1 language · since

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What happened

  1. 01Israel proposes shifting long-term care insurance from group subsidies to personal savings accounts.
  2. 02Younger individuals would save for their own care, purchasing insurance around age 70.
  3. 03The state would fund insurance for older generations during a transition period.
  4. 04The current system is unstable due to rising life expectancy and claim approvals.
  5. 05Concerns exist about the plan's cost, feasibility, and coverage for younger disabled individuals.
Translated and summarized by baba from Globes, the latest report. Read Globes’s original

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