Long-Term Care Insurance Promotion Act of 1989

[AI summary unavailable — showing source text] Long-Term Care Insurance Promotion Act of 1989 - Amends the Internal Revenue Code to treat qualified long-term health care insurance contracts as health insurance contracts and their benefits as benefits for personal injuries or sickness for all tax purposes. Applies this provision to policies whose coverage is limited to the necessary diagnostic, preventive, therapeutic, rehabilitative, and personal care services provided to a chronically ill individual in a qualified health care facility or at home. Allows an income tax deduction for long-term care expenditures. States that benefits provided under certain employer funded long-term health care insurance shall not be treated as deferred compensation plans for purposes of the tax deduction available for employer contributions to benefit plans. Permits a taxpayer a refundable 20 percent income tax credit for long-term care insurance expenditures. Reduces the credit percentage as income increases above $25,000 ($40,000 joint). Permits a maximum credit of between $200 and $2,000, based upon the age of the affected individual and indexed annually to reflect the medical care component of the Consumer Price Index. Allows early distributio…