In 2019 the state enacted a long-term care (LTC) insurance benefit for all eligible Washingtonians, funded by worker contributions into a Trust Fund, now known as the WA Cares Fund. Under this law, individuals will have access to a lifetime benefit of $36,500 that will be adjusted annually for inflation.*
Beginning in January 2022, non-exempted workers will pay .58% of wages earned. Beginning in January 2025, workers who have vested in the Fund and need long-term care will be able to access their earned LTSS benefits. Please see the sample chart below.
Annual Salary | Estimated Monthly Payroll Contribution |
Calculate your estimated contribution using the following: |
$50,000 |
$24.17 |
|
$100,000 |
$48.33 |
|
$150,000 |
$72.50 |
|
$200,000 |
$96.67 |
|
$300,000 |
$145.00 |
|
$400,000 |
$193.33 |
Owners of private long-term care insurance may "opt-out" of the Trust Act permanently by applying for an exemption. Exemption rules and definitions are pending finalization from the Washington State Employment Security Department’s (ESD). On Wednesday 4/21/2021, Governor Inslee signed into law SHB 1323, formalizing the “purchase by” deadline of November 1, 2021 for Long-Term Care Insurance intended to qualify for exemption from the WA Cares Fund.
The decision to own long-term care coverage and opt-out from the WA Cares Fund is an individual and personal decision. You also have the choice to participate in the Fund and own private LTC coverage. Once an employee is exempt, they are permanently ineligible for benefits from the WA Cares Fund.
Below you will find an interpreted benefits summary of the WA Cares Fund and comparison to the LTC + Life Insurance plan. Refer to the Washington State Department of Social and Health Services and http://wacaresfund.wa.gov for additional information.