Cannot send email via Hotmail through port 587 with Secure Connection (SSL) set

Something is blocking my attempts to send email (with Outlook Express) via my hotmail.com account. The error I receive is as follows:
Your server has unexpectedly terminated the connection. Possible causes for this include server problems, network problems, or a long period of inactivity. Account: 'Hotmail', Server: 'smtp.live.com', Protocol: SMTP, Port: 587, Secure(SSL): Yes, Error Number: 0x800CCC0F
When Hotmail.com first changed over to a POP3 server (Sept 2009), I could send emails through them using port 587, which they require. But then something happened, with no changes on my part, to disable my ability to send.
I have checked and rechecked my Outlook Express account settings. I can send email through another third-party mail account (at 1&1 Internet.com) using port 587, which does not require setting SSL to yes. I can also ping the Hotmail SMTP server via port 587 and receive a response from it.
I connect to Verizon DSL via a Westell 327W modem/router. Clearly it is not blocking port 587 without SSL. Does it have the capability to block SSL traffic? Or is the Verizon server the culprit, not allowing emails to be sent via Hotmail.com?
Two different computers on my LAN have the same problem sending emails via Hotmail.com. I have tried everything the Hotmail people have suggested; at this point they think it is an ISP problem, hence this post. This problem doesn't make sense to me and is driving me crazy. Can anyone help me with this?
Thanks.

You can still have your reply address set to your hotmail address. And you don't have to really remember to do anything. Configure your client for the HOTMAIL account with Verizon's outgoing server. It will automatically send via Verizon. You don't reveal your verizon.net address, you are just using their server to transmit.
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