Are there considerations regarding a person’s health to receive the tax benefits from long-term care insurance?
A. The short answer is yes—to qualify for the tax treatment an individual must have been certified as “chronically ill” by a licensed health care practitioner within the previous twelve months. A chronically ill person is defined as someone unable to perform at least two activities of daily living, such as eating, bathing, dressing and continence, without substantial assistance from another individual for at least 90 days. Chronic illness also is described as severe cognitive impairment requiring substantial supervision.
