The most senior Republican on the Senate Finance Committee says government interest in private long term care insurance depends on insurers paying benefits smoothly enough to keep policyholders from collecting Medicaid nursing home benefits.
Sen. Charles Grassley, R-Iowa, has sent a letter seeking detailed claim-handling information from 11 long term care insurers.
The list of recipients includes top executives at CNA Financial Corp., Chicago; Conseco Inc., Carmel, Ind.; Genworth Financial Inc., Richmond, Va.; Life Investors Insurance, Cedar Rapids, Iowa, a unit of AEGON N.V., The Hague, Netherlands; Manulife Financial Corp., Toronto; MetLife Inc., New York; New York Life Insurance Company, New York; Mutual of Omaha Insurance Company, Omaha, Neb.; Penn Treaty American Corp., Allentown, Pa.; Prudential Financial Inc., Newark, N.J.; and Unum Group, Chattanooga, Tenn.
Grassley also is asking the U.S. Government Accountability Office to review the long term care insurance industry.
The GAO investigation should include “a review of whether state insurance enforcement agencies are properly and promptly investigating reports of long-term care insurance claim denials,” Grassley writes in a letter to the GAO.
In the letter to the insurers, Grassley refers to the March New York Times article about LTC insurance claim payment complaints.