Workplace
Long term care insurance is one of the newest and fastest growing employee benefits. There are several tax incentives to employers for purchasing long term care insurance for their employees. Employers can pay for all the coverage, part, or have employees pay all the cost. Usually, employers are willing to fund part of the plan and allow employees to purchase additional coverage. Note: This information is intended to provide a general overview of certain tax laws, and is not a substitute for professional tax advice.
For an overview of the Health Insurance Portability and Accountability Act of 1996 (HIPAA) on the taxability of qualified LTC contracts, check out Brief History.
Statistics show without long term care insurance, 50% of your staff risk depleting assets they've worked so hard to build. Many of your employees are now or will at some point, be faced with trying to find/provide long-term care for themselves or a family member. Elder care is expected to replace child care as the #1 dependent concern for employees.
More than half of the individuals who begin paying for long term care themselves become impoverished within a year and turn to Medicaid for help. "Protect your Empoyees' Financial Future with LTC", MedAmerica GRP 602-802
As a responsible employer, you probably already offer 401 (k) plan and/or other programs to help your employees prepare for retirement. But 401 (k) plans, Life, Health, and Disability insurance are not enough. You can help your employees avoid critical "holes" in their financial planning and avoid the pitfalls that can undo years of hard work.
Offering your employees a long term care insurance plan is good business sense. In today's business climate, each individual employee is important to your company's overall success. Attracting, hiring, and retaining first-rate employees are keys to remaining competitive. Surprisingly, group LTC insurance can be provided at little or no cost to the employer and yet provide significant assistance to the employee. Offering LTC insurance demonstrates care and commitment to your staff and gives your company an important "step up" for existing and prospective employees.
LTC insurance provides employees with a comprehensive group long term care policy that covers care AT HOME, or in an assisted living, or nursing home facility. It enables your employees to take advantage of affordable group rates, favorable underwriting, and certain tax advantages. Better yet, they can lock in rates that will not increase due to their age or health status. Note: Since premiums can be paid through payroll deduction, once your employee is enrolled, they won't have to think about it again.
When the parents of Baby Boomers become unable to care for themselves, the Boomer typically becomes the caregiver. The financial and emotional challenges of this responsibility are often not fully anticipated, nor is the longterm impact on career or wages. Long Term Care Insurance gives your employees the choice and control about who will provide the care they need and where they will receive it.
Long Term Care Solutions can offer a variety of options designed to meet your business objectives and the individual financial needs of your employees.
