NY Times article--LTCi policyholders claims wrongfully denied

[Cenla Agent]

http://tinyurl.com/35yyfj

NY Times article (registration required) on policyholders LTCi claims being wrongfully denied. The title doesn't refer to Conseco, but almost all of the examples are about Conseco and its affiliate Bankers Life and Casualty as well as Penn Treaty.

 

[policy doctor]

It's bad enough those rates have shot up in the last 10 years, now this bad press comes along.

I would be curious to know on what basis, and which claims did they deny.

I know that years ago assisted living facilities were not that common, so they were not covered, or mentioned. Hence many got denied on that basis. Today they are highly utilized.

 

[Cenla Agent]

It's bad enough those rates have shot up in the last 10 years, now this bad press comes along.

I would be curious to know on what basis, and which claims did they deny.

I know that years ago assisted living facilities were not that common, so they were not covered, or mentioned. Hence many got denied on that basis. Today they are highly utilized.

It's been a few days since I read the article, but IIRC it was due to maybe two reasons: 1) They were running way behind on their paperwork. 2) The article suggested it was deliberate. I used to work in an insurance defense law firm and the lawyers would tell me that the P&C companies (or some of them anyway) would periodically deny every claim that came through.