508-653-8110 or 413-245-1501

Message from Tobe:

It’s the time of year when the IRS announces the new deductibility limits for LTCI.  Thank you to AALTCI for providing this information.

All of the limits for 2023 have gone up in comparison to 2022.

Knowing about the deductibility of LTCI is important to anyone who owns a business, or anyone who itemizes his/her medical expenses.  It’s also important to mention that many of the hybrid products that combine LTCI with life insurance also have some degree of deductibility similar to what traditional LTCI offers.   With traditional LTCI the full premium is eligible* for deductibility.  With the hybrid products, the premium is usually broken out between the life insurance portion and the LTCI portion.  While the life insurance portion of a hybrid is not eligible for deductibility, the LTCI portion is.

*Being “eligible” for deductibility does not necessarily mean that the entire LTCI premium is deductible. Each person’s scenario is different. Please refer to the AALTCI chart for more information.

“Q & A” of the Month:

Q: I was just declined for LTCI based upon something that I hadn’t thought was important to share with my agent. What do I do now?

A: With some LTCI companies, they will not consider someone who has been declined by another carrier. Other LTCI companies will consider someone who has been declined by another carrier depending upon the reason for the declination. It is certainly worth asking the agent which other companies might consider an application from you. Good luck!

Yours in success,
— Tobe Gerard