LTC Bullet: LTCI Tax Deductibility--State and Federal

Thursday, January 29, 2009


LTC Comment: AALTCI explains state and federal tax treatment of long-term care insurance; details and a link after the ***news.***

*** LTCI CAFÉ: has launched a new free "Long-Term Care Insurance Resource Center" available to all financial professionals. This "LTCi Café" will feature selected LTC Bullets from the Center for Long-Term Care Reform among many other resources. "Our goal is to continue to reach out to the LTCI community of producers and assist them in becoming more effective ambassadors and advocates for long-term care insurance," stated President Phil Sullivan. For details, see today's press release at ***

*** BOOK STEVE MOSES AND THE SILVER BULLET OF LTC for 10% of the usual cost (free for corporate sponsors of the Center). That's right, all you have to do is schedule this highly regarded, nationally recognized speaker and his Silver Bullet media magnet along the route of this year's "LTC Consciousness Western Mini-Tour." They'll be in Portland, Oregon on March 17 and in Reno, Nevada March 29-April 1. They can be anywhere in the West throughout the month of April. Corporate sponsors of the Center can book the program at no extra cost. Others may book the program for $500 and receive a "premium membership" in the Center for Long-Term Care Reform at no additional cost. First come, first served for dates and itinerary. Contact Damon at 206-283-7036 or for information and reservation. ***

*** REFERRALS. Thank you for reading the Center for Long-Term Care Reform's latest "LTC Bullets" newsletter. If you know someone who would be interested in this publication, please recommend us by clicking here If you have received this edition as a forward, and would like your own subscription, you may subscribe here Thank you. ***



LTC Comment: On the road promoting responsible LTC planning, the question I'm asked most frequently is: When will private long-term care insurance receive above-the-line federal tax deductibility? Answer: probably never, but certainly not until research shows conclusively that such deductibility will save the federal budget more than it costs even in the short run. We have a strategy that could provide that proof in case anyone would like to sponsor such a study.

The next most common question I'm asked is: "How is LTC insurance treated under current tax law?" For the answer to that question, we have brand new information.

Kudos to Jesse Slome and the American Association for Long-Term Care Insurance ( for bringing us details on state and federal tax treatment of long-term care insurance. Yesterday's AALTCI press release follows. Find all the details at We'll also highlight this information in The Zone.


Contact: Jesse Slome, Executive Director, American Association for Long-Term Care Insurance; (818) 597-3227; E-mail: 


Both Federal And State Tax Incentives For Those Purchasing LTC Insurance Protection

Looking for current federal and state tax deductibility rules pertaining to long-term care insurance?

They can now be accessed on the American Association for Long-Term Care Insurance's website:

"Over eight million Americans now own long-term care insurance and the federal government and many states offer tax deductions and tax incentives that increase yearly," explains Jesse Slome, Executive Director of the American Association for Long-Term Care Insurance (AALTCI).

The advocacy and educational organization's website provides a comprehensive explanation of the tax advantaged rules pertaining as well as a state-by-state listing identifying which states mirror the federal limits and which have established their own rules.

# # #