If health insurance premiums are not tax-deductible, the benefits are:

If health insurance premiums are not tax-deductible, the benefits are:



a. Always tax-free.

b. Tax-free, as long as they do not exceed the actual cost of medical expenses.

c. Taxable as ordinary income.

d. Only tax-free for disability income insurance.



Answer: b. Tax-free, as long as they do not exceed the actual cost of medical expenses.

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