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LTC Benefits Taxation

Posted by John Bergstrom on March 09, 19101 at 11:50:57:

There is a lot of conflicting information out there. Maybe someone has a good handle on this topic.
1.) Can policies taken out prior to 1-1-967, be considered (if the conversion option not taken then) as a TQ policy? 2.) Benefits received from a NQ policy are or are not included as taxable income? HIPAA requires insurers paying benefits to report on a 1099, indicating a tax liability- but are these not similar to self-funded DI policies, hence benefits are ecluded from gross income?

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Re: LTC Benefits Taxation : There is a lot of conflicting information out there. Maybe someone has a good handle on this topic. : 1.) Can policies taken out prior to 1-1-967, be considered (if the conversion option not taken then) as a TQ policy? 2.) Benefits received from a NQ policy are or are not included as taxable income? HIPAA requires insurers paying benefits to report on a 1099, indicating a tax liability- but are these not similar to self-funded DI policies, hence benefits are ecluded from gross income?

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