The Senior Issues Task Force, an arm of the National Association of Insurance Commissioners (NAIC), says the NAIC should update its long-term care insurance (LTCI) model act and model regulation.
The NAIC, Kansas City, Mo., added rate stability provisions to the models in 2000. At least 37 states have adopted those LTCI rate stability revisions, the task force says in a model law development request form.
The task force adopted the model law development request Sunday in Atlanta, during a session at the NAIC’s summer meeting.
The task force says the model rate stability amendments adopted in 2000 helped ease LTCI underpricing problems.
But, in recent years, “the long term care market place has seen significantly large and/or multiple rate increases on policyholders, including on policies sold under rate stabilization standards,” the task force says. “It appears that the current standards can and need to be improved.”