Arizona Updates LTC Insurance Law
Arizona Gov. Janet Napolitano, a Democrat, has signed a bill that updates Arizonas long term care insurance laws to include consumer-protection standards promoted by the National Association of Insurance Commissioners, Kansas City, Mo.
The bill, H.B. 2153, was introduced by Rep. Ted Carpenter, R-Phoenix, chairman of the House Financial Institutions and Insurance Committee.
The bill gives the director of the Arizona Department of Insurance explicit authority to prescribe a standard format for long term care insurance marketing materials. It also gives the director authority to make insurers charge adequate initial rates and give policyholders some protection against substantial rate hikes.
The Arizona department “is concerned that some insurers offering LTC tend to initially underprice their products,” the Senate staff wrote in a bill analysis.