Interesting Comment on New York's Rate Increase History

[Mr_Ed]

An elder law attorney wrote a article in a NY newpaper today.

Bonnie Kraham: Long-term care insurance industry in turmoil - Business Columnists - recordonline.com - Middletown, NY

Interesting comment at the bottom of the article:


The state of New York has one of the best track records for keeping LTC insurance premiums stable.

There are 10 companies that sell over 90% of the long-term care policies in the state of New York.

Nine of those 10 companies have not had any rate increases on any of the LTC policy forms they've sold in New York--or just one premium increase on a small portion of their LTCi policyholders.

Source:

Long Term Care Insurance Rate Increases New York

Credit needs to be given to the insurance regulators in the state of New York.

 

[ltcadviser]

An elder law attorney wrote a article in a NY newpaper today.

Bonnie Kraham: Long-term care insurance industry in turmoil - Business Columnists - recordonline.com - Middletown, NY

Interesting comment at the bottom of the article:


The state of New York has one of the best track records for keeping LTC insurance premiums stable.

There are 10 companies that sell over 90% of the long-term care policies in the state of New York.

Nine of those 10 companies have not had any rate increases on any of the LTC policy forms they've sold in New York--or just one premium increase on a small portion of their LTCi policyholders.

Source:

Long Term Care Insurance Rate Increases New York

Credit needs to be given to the insurance regulators in the state of New York.

Arthur has the regulators in his hip pocket.

 

[Arthur Rudnick]

originally posted by Mr_Ed

An elder law attorney wrote a article in a NY newpaper today.
Bonnie Kraham: Long-term care insurance industry in turmoil - Business Columnists - recordonline.com - Middletown, NY
Interesting comment at the bottom of the article:
The state of New York has one of the best track records for keeping LTC insurance premiums stable.
There are 10 companies that sell over 90% of the long-term care policies in the state of New York.
Nine of those 10 companies have not had any rate increases on any of the LTC policy forms they've sold in New York--or just one premium increase on a small portion of their LTCi policyholders.
Source:
Long Term Care Insurance Rate Increases New York
Credit needs to be given to the insurance regulators in the state of New York.

Bonnie Kraham is an attorney with the Ettinger Law Firm, who's main focus is Medicaid Trusts. Years ago I used to network with Michael Ettinger and have a pretty good idea as to where his priorities are. Like most Elder-Law attorneys, Trusts are their money makers and rarely do they promote LTCi in good faith.

They talk about insurance as an alternative but only to appear as a unbiased resource, which most are not. Ettinger and other NY attorneys constantly advertise for setting up Trusts and transferring assets even after one has entered a nursing home. So, Bonnie Kraham does have a hidden agenda.

Regarding the NYS Rate Increase Chart. It is way out dated.

NYS used to have the most restrictive LTCi rate increases in the country. Regardless of how much of an increase was requested, rarely (only on 2 or 3 occasions) was an increase of more than 10%-15% allowed.

However, about 2-3 years ago, the NYS DOI was transformed and restructured to become the NYS Department of Financial Services. Since then it seems the limitations of increases went out the window.

The first sign was Hancock and their increase requests of 50%-90% which were approved in it's entirety. That never happened before. Many times increases were totally denied or limited to less than 15%. I'm not sure what the reason was for the change of direction, but obviously the new regime has taken a different approach.

I think today, CT is the most restrictive on allowing rate increases.

 

[Mr_Ed]

Other than JH (who got some very big premium increases approved in NY), the rest of the companies have either no increases or remarkably low increases.

For example:

Genworth-only one increase of 10% or less on most of their policyholders, no increase on their earliest policies, and 23% or less on their policies sold in the mid/late 90's and no increases on their policy forms sold since 2005.

Medamerica-no increases on their earliest policy forms, one increase between 10% and 15% on policy forms approved between 1994 and 2006. No increases on policy forms approved since 2006.

Mutual of Omaha-no increases on nearly all of their NYS policyholders.

I think the state of NY should be proud of their track record.

And I think that the residents of NY shouldn't be afraid of "frequent, large" premium increases as Bonnie Kraham as alluded to in her column.

Long Term Care Insurance Rate Increases New York

 

[Arthur Rudnick]

originally posted by Mr_Ed

And I think that the residents of NY shouldn't be afraid of "frequent, large" premium increases as Bonnie Kraham as alluded to in her column.

Residents of NY shouldn't fear "frequent, large premium increases"?

I agree, and residents of CA shouldn't fear that they will shortly be running out of water to drink.

Just saying.......

 

[Mr_Ed]

originally posted by Mr_Ed



Residents of NY shouldn't fear "frequent, large premium increases"?

I agree, and residents of CA shouldn't fear that they will shortly be running out of water to drink.

Just saying.......

The rate increase history in California is even better:

Long Term Care Insurance Rate Increases California

 

[ltcadviser]

The rate increase history on hybrids are also good.

 

[Mr_Ed]

The rate increase history on hybrids are also good.

so is NWM rate increase history. I guess we should all sell NWM now.

 

[ltcadviser]

so is NWM rate increase history. I guess we should all sell NWM now.

I show it but nobody ever wants to buy it.

Hybrids they like though.

 

[Mr_Ed]

I show it but nobody ever wants to buy it.

Hybrids they like though.

not if they understand the time value of money.