Long term care reform needs to be both clear and sustainable if a funding crisis is to be avoided says Just Retirement.
As the industry awaits the publication of a white paper as well as a progress report on funding head of care solutions Sue Elliott said broad principles need to be outlined to help people plan how to fund care.
"It would be disappointing if the funding proposals paper fails to send a clear signal about how the system will work and the financial responsibilities that each of us as individuals will need to take on," she said.
"There is so much confusion at present and people feel aggrieved when they discover the state will not provide and they are expected to foot some if not all of the bill for care."
Elliott said better information was needed to signpost people towards experienced advisers.
She also said people need incentives to take out insurance against care costs rather than being penalised for taking action.
In addition she called for changes to tax laws so people can use pension assets to purchase long term care insurance. She pointed to products like disability linked annuities which increase income once care is required.
She also highlighted the importance of a partnership between state and individuals saying that "any model must recognise that neither the public sector nor private sector can pick up the whole bill without the other's help."
