Employers have no obligation under Alaska law to offer long-term care insurance to their employees. However, if long-term care insurance is among the benefits offered, certain state law requirements limit how the plan may be designed.
Preexisting condition limitations in long-term care insurance policies may not exclude coverage for more than 6 months after the effective date of coverage under the policy. Additionally, a “preexisting condition” cannot be defined more restrictively than as a condition for which medical advice or treatment was recommended by or received from a healthcare services provider within 6 months before the effective date of coverage (AK Stat. Sec. 21.53.030).
Long-term care insurance policies in Alaska may not condition eligibility:
• On a prior hospitalization;
• On the receipt of a higher level of institutional care when care is provided in an institutional setting;
• On a prior institutional stay of more than 30 days for which benefits are paid in the case of benefits for noninstitutional care;
• On an admission to an institutional care facility for the same or a related condition within a period of less than 30 days after discharge from the institution if the policy provides benefits only following institutionalization; or
• For a benefit on a prior institutionalization (other than a waiver of premium, postconfinement, postacute care, or recuperative benefit) (AK Stat. Sec. 21.53.040).