Long term care (LTC) coverage provides services that people need as they age or become ill. Services include help with daily tasks, such as getting dressed, bathing, transfer assistance, continence, toileting, eating and more. LTC coverage helps pay for care associated with nursing home, assisted living or home health care. Learn more through Washington State’s Department of Social and Health Services.

Beginning July 2026, Washington state employees who qualify may be entitled to an LTC lifetime benefit of $36,500 to pay for LTC services and support. To be eligible for benefits, you must have met the WA Cares contribution requirements by the time you apply. You must also need help with activities of daily living.

You must be at least 18 years old and a current resident of Washington to receive long term care benefits. In addition, the benefit can only be used in Washington.

The WA Cares Fund benefit can be used for many different services and supports. You choose whatever mix of family and professional care meets your needs. You can also pay for things like equipment, meal delivery and transportation to help you go about your daily life.

Services and supports that will be covered include:

• Professional personal care in your home, an assisted living facility, an adult family home or a nursing home
• Training and support for paid and unpaid family members who provide care
• Adaptive equipment and technology like hearing devices and medication reminder devices
• Home safety evaluations
• Home-delivered meals
• Care transition coordination
• Memory care
• Environmental modifications like wheelchair ramps
• Personal emergency response system
• Transportation
• Dementia support
• Education and consultation

You can find additional information regarding Washington LTC services on the WA Cares Fund website.

You can opt out of the payroll tax only if you purchase a qualifying private LTC Insurance plan before November 1, 2021, and apply for an exemption through the state’s ESD.

Beginning July 2026, Washington state employees who qualify may be entitled to an LTC lifetime benefit of $36,500 to pay for LTC services and support.

No, LTC services can only be provided in Washington and the benefit requires the loss of functional ability for three of 10 daily activities. Daily activities are defined as medication management, personal hygiene, eating, toileting, transferring, body care, bathing, ambulation/mobility, dressing and cognitive impairment.

Yes, you can opt out of the payroll tax if one of the following scenarios applies.

Optional exemption:

• Workers whose permanent home address is outside of Washington
• Temporary workers on a non-immigrant visa
• Spouses or domestic partners of active-duty service member of the U.S. armed forces
• If you are a veteran with 70% or higher service-connected disability

Or, private insurance exemption:

• Employees who had private long term care insurance on or before November 1, 2021, were able to apply for an exemption from the WA Cares Fund from October 1, 2021, until December 31, 2022. This opt-out provision is no longer available.

Additional information on how to create an account and apply for an exemption can be found on the WA Cares Fund website.

Optional exemption:

If one of the following scenarios applies to you, exemptions are available on an ongoing basis. Additional information on how to create an account and complete the exemption application can be found on the WA Cares Fund website. If the ESD reviews your application and notifies you of your eligibility for an exemption, you will receive an exemption approval letter. Provide a copy to the Employee Service Center at hrhr@rei.com; exemptions will take effect the quarter after your application is approved.

• Workers whose permanent home address is outside of Washington
• Temporary workers on a non-immigrant visa
• Spouses or domestic partners of active-duty service member of the U.S. armed forces
• If you are a veteran with 70% or higher service-connected disability

Private insurance exemption:

• Employees who had a private long term care insurance on or before November 1, 2021, were able to apply for an exemption from the WA Cares Fund from October 1, 2021, until December 31, 2022. This opt-out provision is no longer available.

Optional exemption: Workers with an optional exemption will no longer qualify for an exemption if:

• They change their permanent residence to within Washington
• Their immigration status changes, and they become a permanent resident
• Their spouse is separated from military service, or the marriage/partnership is dissolved

Private insurance exemption: If you receive an exemption from the state, you are permanently ineligible for state LTC coverage and can never become a qualified individual or eligible beneficiary.

a) I live in Washington and work in Oregon.

If you live in Washington and work in Oregon, you will not pay taxes and not be covered under this program.

b) I live in Oregon or Idaho and work in Washington.

If you live in Oregon or Idaho and work in Washington, you will able to opt out of the WA LTC program if you choose. You will need to file an exemption with the Employment Security Department. More information can be found on the WA Cares Fund website.

The following are questions to consider when looking at a private LTC policy:

• What is the maximum benefit provided?
• How many Activities of Daily Living (ADLs) need to be met to become eligible for the benefit? Will cognitive impairment alone qualify me for benefits?
• When will my LTC coverage begin?
• When will my benefit payments begin?
• Will I receive benefit payments if my care is provided outside Washington State or the U.S.?
• Will the cost of coverage change through the life of the contract due to my age or my income? Do I want to purchase inflation coverage?

Due to the sheer volume of applications for new Long Term Care or Life with Long Term Care insurance submitted, as of the first part of September 2021 most LTC and life carriers have temporarily suspended all WA state new business. REI is not aware of any options currently available which would allow you to purchase a private policy in order to opt out of the state plan. Please refer to the state’s website for additional information in relation to private insurance.

No, the LTD plan available to REI benefit-eligible employees is a separate type of insurance that is different from LTC Insurance. For this reason, LTD doesn’t meet the requirements for a premium exemption under the WA Cares Fund.

Information on how to apply for an exemption can be found on the WA Cares Fund website.

The Employment Security Department will review your application and notify you of your eligibility for an exemption and provide an exemption approval letter. A copy to the approval letter should be provided to the Employee Service Center at hrhr@rei.com; exemptions will take effect the quarter after your application is approved.

You will be required to present your exemption approval letter to all current and future employers.