Insurance company units of Genworth Financial Inc. (NYSE:GNW) appear to be changing their approach to selling long-term care insurance (LTCI) in the employee benefits market.
Several LTCI producers have posted copies of what appears to be a letter from Genworth about the life units’ multi-life and Long Term Care Business Solutions programs on the Web.
The units, Genworth Life Insurance Company and Genworth Life Insurance Company of New York, have decided to stop accepting new applications for the multi-life and LTC Business Solutions programs April 15, the company said, according to the letter.
The units will continue to sell individual LTCI coverage, and they will continue to sell coverage in the large employer group market, according to the letter.
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The large employer group market plans are available on a voluntary, employee-paid basis to employers with more than 500 employees, and on a traditional, employer-paid basis to employers with more than 150 employees, according to the letter.
The change will not affect multi-life coverage that is already in place, according to the letter.