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Public Law 106-265, the Long Term Care Security Act, gives federal employees a voluntary LTC insurance plan. This law passed both the House and the Senate unanimously with broad bipartisan support and was signed into law on September 19, 2000. This is a purely voluntary program, meaning that enrollees pay the premiums. www.opm.gov/insure/ltc/index.htm

Passage of the bill is a bright omen for the above-the-line tax deductions for individual LTC insurance.

Comment from Phyllis Shelton: This sets an example for other employers when the largest employer in the country does something, then other employers usually follow suit. A recent *Arthur Anderson report says that LTC insurance is in the top three areas of benefit activity this year. So - the group market is moving!

The link below takes you to OPM’s proposed product design for the LTC insurance plan to be offered to federal employees and others.
www.opm.gov/insure/ltc/design/design_text.htm

*Survey of Health and Welfare Benefit Plans, September 2000, (877) 427-1010

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