A long term care insurer says it welcomes the attention the U.S. House Committee on Energy and Commerce is giving its industry.
Efforts by Rep. John Dingell, D-Mich., chairman of the committee, and Bart Stupak, D-Mich., chairman of the committee’s Oversight and Investigations Subcommittee, to review LTC insurer claims handling practices represent “an opportunity to highlight the value of long term care insurance to America’s seniors,” Penn Treaty American Corp., Allentown, Pa., says in a response to Dingell and Stupak’s announcement of the investigation.
Dingell and Stupak have sent Penn Treaty and another company, Conseco Inc., Carmel, Ind., letters saying they are looking into allegations reported in a recent front-page New York Times article suggesting that some carriers make collecting on valid LTC insurance claims difficult.
Penn Treaty, a company that helped create the modern U.S. LTC insurance market, “maintains an excellent claim-paying record and is dedicated to improving the quality of life for our nation’s seniors,” Penn Treaty says in the response.
“The company has built its reputation as an industry leader with policyholders and agents due to its strong record of approving and paying claims expediently and fairly,” Penn Treaty says.
Penn Treaty has approved more than 95% of new claims submissions over the past 3 years, and paid more than $175 million per year in claims over the past 5 years, the company says.
“We intend to fully assist the [Energy and Commerce] Committee’s efforts, which we believe will affirm Penn Treaty’s leadership role in the highly beneficial long term care insurance industry,” the company says.