Regular LTC policies without rate increases?

Aug 22, 2018

  1. scagnt83
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    scagnt83 Worldwide Expert of Everything

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    You are telling me the policy contract has a set dollar amount that the policy legally can never charge more than?

    I have never read the entire legislation. However, this "cap" you speak of, if I am not mistaken, its just a regulatory cap dictated by the actuarial results of the insurer.

    There is a "cap" in relation to the carriers losses or profits. But not a set figure written in the contract.
     
    Last edited: Oct 1, 2018
  2. LostDollar
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    I have no wish to offend either of you, because I respect you both.

    I have no idea if my personal experience goes with the minority or majority of policy holders, but I think my personal experience follows along with Mr_ed's comment.

    In the 1990's I bought an insurance policy I never really understood. I think, but am not sure, that it was a universal life policy. As it turned out, for me at least, the agent was a complete jerk. Some years later the insurance company had a class action suit against it for providing improper illustrations.

    However, neither of those issues caused the policy to lapse. My career took a downturn from which I was never able to recover and the policy lapsed because I was unable to make the premium payments. I would have to believe that I am not the only person who has ever overbought an insurance policy.
     
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