Yes. Businesses are permitted to deduct premiums up to fixed dollar amounts, which are set based upon the age of each employee insured.  

For an individual purchasing a policy, premiums are only deductible to the extent that they exceed 7.5% of adjusted gross income. It is deducted on Schedule A attached to the 1040 form. 

Answers to our readers' questions were provided by 

 adviser David J. Schiller, JD, Schiller Law Associates, Norristown, Pennsylvania.

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Find out whether premiums for long-term care policies are deductible.