Sweeping Changes Are Coming with Genworth

[ltcadviser]

Maybe they will actually go to gender based pricing this time.

 

[CALTCAgent]

I've had two GNW declines because of "severely elevated liver function tests"...numbers basically off the chart..including GGT (that no one else tests for). Client was perfectly healthy......perfect labs with their doctor before and after the paramed exam. Only the paramed labs were bad. GNW got medical records from the doctor after we appealed, saying "that was impossible".....they looked at the records, reversed their decision and awarded them "preferred best".

So....you tell me where the off the chart paramed lab numbers came from. It freaked the client out when they thought they may be suddenly dying of liver disease....and it turned out to be bad labs or some freak occurrence. Glad we got it resolved, but is has me doing more with MOO as a result.

This is interesting. Sounds similar to this situation. The GGT was the very high as they noted the number.

Not sure what to do. I am thinking an appeal might make sense after your situation.

I was thinking client had a serious liver problem she wasn't aware or telling me about.

 

[ltcadviser]

but has me doing more with MOO as a result.

Also, to echo Jack's info....I was told the next GNW fire sale will likely be in May/June due to re-pricing the current PCF2 higher.,,starting of course in the ~34 compac state.

Yeah, I think I will pass on the fire sale mentality. Nothing worse than trying to create urgency based upon price. And a non-guaranteed price at that.

You really don't want to approach clients and tell them they need to rush into this because of price. 3 years from now when 20% rate increase hits, they could get ticked.

Better to not write business on urgency. Just write what naturally comes your way.

I haven't been writing MOO, but I do have clients looking at Mass Mutual.

If premium spread gets narrow, I could see Mass Mutual capturing a lot of my business.

The tone of the communication I received from GNW was somewhat foreboding, but maybe I am reading too much into it. To me, all of GNW changes so far have been meaningless. Claims offset/no claims offset, unlicensed caregivers/licensed caregivers, paramed/no paramed. None of this stuff is a big deal.

It is still a great contract for the money.

I just get a sense real big stuff is coming. 30% whack in compensation, no lifetime renewals, premium hikes (refreshed pricing) by 30%, sacrifice of first born...stuff like that

Speaking of these marketing clowns snd their "refreshed pricing"....reminds me of the used car sales clowns referring to its used car as "Certified Pre-Owned".... Just call it used, clown.

Just tell me you are jacking up new business rates Genworth. I get it.

 

[Mr_Ed]

I see they're proposing to states to allow them to raise rates every year or so by a minimum amount (5%-10%) in order to avoid much larger rate increases down the road.

Gimmeabreak, Arthur.
You have no idea what you're talking about.

 

[ltcadviser]

Scott, you hear anything about what is coming?

 

[Arthur Rudnick]

previously posted by Mr_Ed

Gimmeabreak, Arthur.
You have no idea what you're talking about.

And, why is that? I assume you've heard different?

 

[Charlie456]

I hear that FLEX3 will have more restrictions on independent caregivers making it tougher to go with the caregivers that are licensed but not through an agency. Disappointing.

 

[Mr_Ed]

previously posted by Mr_Ed



And, why is that? I assume you've heard different?

the ceo was not talking about the current type of LTCi policy.
under current regulations, a policy purchased today canNOT have multiple premium increases. In order to get a premium increase on a policy purchased today an independent, qualified actuary has to certify that it's the only premium increase which that policy form will ever need.

so mcinerney was not talking about the policies we're selling today or even the policies that have been sold over the past 10 years.

he's talking about trying to get regulators to allow a completely new type of LTC insurance that's modeled more like health insurance or medsupps.

even if regulators agree to allow a new type of policy like that, it would not be available for sale for many years from now, certainly no less than 3 years and probably 5 years or more.

 

[Charlie456]

Mr Ed, your assessment makes sense to me. I think the plan is to have this new breed of LTCI product follow Flex3.

 

[scagnt83]

under current regulations, a policy purchased today canNOT have multiple premium increases. In order to get a premium increase on a policy purchased today an independent, qualified actuary has to certify that it's the only premium increase which that policy form will ever need.
.

Do you have any documentation of this? Is this across all states?