Employers have no obligation under Arkansas 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.
A long-term care policy cannot define a “preexisting condition” more restrictively than as a condition for which medical advice or treatment was recommended by or received from a provider of healthcare services within six months before the effective date of coverage (AR Code Ann. Sec. 23-97-308). Additionally, a long-term care policy cannot exclude coverage for a loss or confinement that is the result of a preexisting condition, unless the loss or confinement begins within six months following the effective date of coverage.
A long-term care insurance policy may not condition eligibility for any benefits on prior hospitalization or on the receipt of a higher level of institutional care (AR Code Ann. Sec. 23-97-309).