Glossary


Health Insurance Portability and Accountability Act (HIPAA)

The Health Insurance Portability and Accountability Act of 1996, also known as the Kassebaum-Kennedy Act, after the two senators who spearheaded the bill. In relation to long term care, HIPAA defines certain conditions under which long term care insurance policies are qualified for certain tax benefits. These benefits include the ability to treat premiums paid for long term care insurance as medical expenses when itemizing income tax deductions and to treat long term care insurance benefits as nontaxable.