NU Online News Service, Feb. 16, 2005, 7:15 p.m. EST
A large mutual insurer wants to give holders of long term care insurance policies a chance to share in policy profits.[@@]
The insurer, New York Life Insurance Company, New York, says its board has approved a dividend for the company’s LTCSelect Premier LTC insurance policy.
The dividend will be paid to holders of policies that have been in-force for 3 years in the form of a decrease in their next premium payment, New York Life says.
The company has filed an endorsement for the new dividend program in New York state and already has approval for the change in more than 40 other states, the company says.
The dividends are not guaranteed, but New York Life says it will be offering the dividends to holders of existing LTCSelect Premier policies as well as to new purchasers.
“New York Life is proud to be the first insurer to offer a dividend on its long term care insurance products,” says Kenneth Grubb, a senior vice president at New York Life, in a statement about the new dividend program. “As prices have risen and other insurers have left the marketplace, New York Life has strengthened its position, clearly setting us apart from the competition.”