Ralph E. Frahm & Erika C. Frahm - Page 12




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          account premiums of $583.60 for a long-term care insurance policy           
          issued in Mr. Frahm’s name by American Fidelity Assurance Company           
          (Mr. Frahm’s long-term care policy).                                        
               During 2001, in addition to the premiums that Ms. Frahm paid           
          for Mr. Frahm’s Wellmark Secure Blue Select policy and Ms.                  
          Frahm’s Conseco policy, Ms. Frahm paid a total of $5,076 for                
          certain noninsurance medical expenses.12                                    
               Ms. Frahm submitted to AgriPlan/BizPlan a request for                  
          reimbursement of medical expenses for 2001 totaling $15,188.                
          That submission consisted of a preprinted form entitled “Employee           
          Benefit Expense Transmittal” (Ms. Frahm’s 2001 employee benefit             
          expense form) that Ms. Frahm had completed.  That form, which Ms.           
          Frahm signed as employee, stated in pertinent part:                         
               EMPLOYEE STATUS                                                        
               Gross W-2 wage to employee during                                      
               2001 (other than benefits):                       3000.00              
                                                                                     
                    *       *       *       *       *       *       *                 
               BENEFIT TOTALS                                                         
               1  Medical/Health Insurance Premium                                    
               (from Section 2)                        [13]8712.00                    
               2  Employee’s Long Term Care Insurance                                 


               12The noninsurance medical expenses paid by Ms. Frahm during           
          2001 are not at issue in this case.                                         
               13The amount shown is the amount, rounded to the nearest               
          dollar, of the total (i.e., $8,712.20) of all of the premiums               
          shown under the heading “Major Medical/Health Insurance” in                 
          “Section 2.  Insurance Benefits” quoted below.  But see infra               
          note 18.                                                                    





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