National Association of Insurance Commissioners members have thrown their support behind a federal bill that would strengthen protections for long term care policy holders.
In a letter to Senator Herb Kohl (D-Wisc.), Chair of the Special Committee on Aging, the NAIC backed amendments to a bill, S. 1177, that would improve disclosure, producer training, consumer education and information, and rate stability for LTC insurance.
The language, drafted by Kohl, is being proposed as an amendment to the bill, a health care reform measure introduced by Senator Ron Wyden (D-Ore.)
“In consultation with consumer representatives, the long-term care insurance industry and other stakeholders, the NAIC has developed model laws and regulations that provide extensive consumer protections to long term care insurance policyholders,” NAIC president and New Hampshire Insurance Commissioner Roger Sevigny wrote to Kohl. The amended bill “would update federal consumer protection standards and institute a formal process for incorporating new NAIC-adopted protections in tax-qualified and Partnership plans.”
The NAIC recently completed standards for external review of insurers’ denials of LTC claims, Sevigny noted in the letter.