New Genworth Product Announced

[LGilmore]

Read through the "laws" and really how is that different than any other insurance regulations out there? Of course carriers have to prove by formula that a rate increase is necessary, that's really not different than before. They have to show their pricing model. How is that different than before?

I found no real cap on anything. I just found the requirements to be met to file for a rate increase. There doesn't appear to be an "ah ha" moment where we've got them by the short hairs. It is just the requirements to be demonstrated to have a rate increase approved.

 

[scagnt83]

I have always heard in SC, and I thought I learned on the LTC partnership CE course, that in SC the LTCI rate increases could be no more than 75% of the original premium.

But then when I read what Scott so graciously posted for us, it seems to have no real cap. It has caps, except when the insurer can show that the increase is justified by prior faulty assumptions... which is the problem that is at the heart of LTCI rate increases... faulty assumptions.

Although it did say that renewal premiums could not be more than premiums for new business of a comparable benefit level. Which is the only real cap I could find that did not have a "faulty assumption" loophole.


And even though SC has had these "improved" regs since 2010 (technically it applied to policies starting in 2011), Genworth just this month announced a pending 12.8% rate increase on business written all the way up to 2012 (after the new regs) .... just 2 years later those customers are hit with a 12.8% increase.

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Those states that implemented the rate increase regulations back in 2002 and 2003 have seen no rate increases (with very few exceptions).

Which states are those?

 

[CALTCAgent]

Those states that implemented the rate increase regulations back in 2002 and 2003 have seen no rate increases (with very few exceptions).

Not jumping on the bandwagon here, but.....

How can there be "no" rate increases, with very few exceptions ?

Doesn't "no" mean "no" anymore ?

 

[Arthur Rudnick]

originally posted by Mr_Ed

Those states that implemented the rate increase regulations back in 2002 and 2003 have seen no rate increases (with very few exceptions)

originally posted by CALTCAgent

How can there be "no" rate increases, with very few exceptions?
Doesn't "no" mean "no" anymore ?

Not in Mr_Ed's world..............

Please explain why Genworth, Hancock & MedAmerica (to name a few) had nationwide increases over the past couple of years?
Is there a loophole in the regs? Must be.

 

[ltcadviser]

Page 1 of the Genworth Personal Worksheet definitely indicates to me that someone in Lynchburg found a loophole.....John Hancock's Personal Worksheet indicates someone in Boston also found a crack.....

 

[VolAgent]

originally posted by Mr_Ed




originally posted by CALTCAgent



Not in Mr_Ed's world..............

Please explain why Genworth, Hancock & MedAmerica (to name a few) had nationwide increases over the past couple of years?
Is there a loophole in the regs? Must be.

https://www.youtube.com/watch?v=E5DZBFbMdjI

 

[Arthur Rudnick]

Hey,
Isn't that the guy who fell out of a helicopter yesterday?

 

[Mr_Ed]

I can understand a consumer not understanding rate increase regulations or not understanding how to read a personal worksheet.

But to have the people who are licensed and "trained" in long-term care insurance to not be able to understand this is pretty shocking and sad.

I guess only smart people work for insurance companies and the dumb ones sell the insurance. Is that what you want me to believe?

 

[Arthur Rudnick]

originally posted by Mr_Ed

I can understand a consumer not understanding rate increase regulations or not understanding how to read a personal worksheet.

But to have the people who are licensed and "trained" in long-term care insurance to not be able to understand this is pretty shocking and sad.

I guess only smart people work for insurance companies and the dumb ones sell the insurance. Is that what you want me to believe?

Forget the consumer, the consumer never gets to see this stuff in the first place. And, if they did find it and read it, their head would most likely explode.

I am "licensed & trained" and obviouly one of the "dumb ones". Not only don't I have a clue what the regs that you posted mean, no one else other than you pretends to understand them. In fact, the NAIC who put the thing together doesn't understands it.

It means NOTHING!

Now, here's what YOU don't understand:
The NAIC came out with the LTC Model Act. As I understand it, only 40 states have signed on. (NY was not one of them).

The bottom line it was supposed to limit the amount and the frequency of rate increases. The carriers are required to prove that the increase is needed in order to protect the company's Reserves. Let's put aside for a moment the other 8,000 words. As I stated earlier, it is worthless legislative gibberish.

The end result of (which is what's "shocking & sad") is you defend these regulations, yet increased rates on existing policyholders continue. And, if history is a guide, will continue as long as the industry exists.

Why not address the point I made in my earlier post, which was:

Please explain why Genworth, Hancock & MedAmerica (to name a few) had nationwide increases over the past couple of years?

And, please address CALTCAgent's question to you, which was:
How can there be "no" rate increases, with very few exceptions ?
Doesn't "no" mean "no" anymore ?


Or, why not address the comment from my personal attorney, which was:

Page 1 of the Genworth Personal Worksheet definitely indicates to me that someone in Lynchburg found a loophole.....John Hancock's Personal Worksheet indicates someone in Boston also found a crack.....

Or, just address anything other than your personal agenda, which seems to be difficult for anyone to accept other than you.

 

[ltcadviser]

I just need someone to define "moderately adverse experience".....

http://www.actuary.org/files/Long_Term_Care_Rate_Stability_Practice_Note_2012_1.pdf

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I can understand a consumer not understanding rate increase regulations or not understanding how to read a personal worksheet.

But to have the people who are licensed and "trained" in long-term care insurance to not be able to understand this is pretty shocking and sad.

I guess only smart people work for insurance companies and the dumb ones sell the insurance. Is that what you want me to believe?

BTW, I actually can read the personal worksheet; and I do fully understand your reasoning, Scott. But every once in a while it is fun to mess with you though :-)