Long term care plan

[Guest cosmo01]

Is a long-term care plan covered by ERISA? I have found information stating that long term care programs are not subject to HIPAA and COBRA - if provided as a separate plan. However, are such plans covered by ERISA?

[Guest 76g8711]

Long Term Care group plans don't usually fall under ERISA guidelines and depending on your company's way they are established (C-corp, subchapter S, etc.) the benefits are tax deductible with no tax on the benefit at the time received but that depends on the DBA (daily benefit amount). There is talk of putting it inside Section 125 too

[leevena]

Generally speaking any plan that delivers a benefit to employees other than wages is subject to ERISA. If the employer is involved in this "offering" to their employees, it is covered by ERISA.

[QDROphile]

Benefits subject to ERISA are listed at section 3(1) of ERISA. While many important benefits are listed, the list is limited. Long term care usually provides medical, sickness or disability benefits, all on the list.

[Guest merkramirez]

Sadly, it is not. It is obviously known that the government cannot take care of its older population. However, it does not want every single one of them to perish and wither; so they create a solution to entice them to buy long-term care insurance. ERISA, HIPPA, nor is COBRA will entice you. They have other things in mind. Their solution, making tax exemption to insurance policies.