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Regulators hammer out LTCI worksheet changes

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Long-term care insurance (LTCI) agents and brokers may soon be giving applicants a revised suitability worksheet.

Regulators at the National Association of Insurance Commissioners (NAIC), a group for insurance departments, are drafting an update of the NAIC’s model Long-Term Care Insurance Personal Worksheet, which was last revised in 2000 and in 2003.

The NAIC puts the model worksheet in its Guidance Manual for Rating Aspects of the Long-Term Care Insurance Model Regulation.

A state does not have to adopt NAIC models, but many adopt NAIC models as is, and some start with an NAIC model when developing their own laws and regulations.

The NAIC is heading to Chicago for its summer meeting Saturday. The Senior Issues Task Force, part of the NAIC’s Health Insurance and Managed Care Committee, has put a review of the worksheet revision draft and work on other LTCI consumer disclosure models on the agenda for a session set to start Saturday.

See also: Consumer rep raises LTCI disclosure concerns

The copy of the draft included in the task force meeting packet shows, for example, that regulators could add a warning stating that, “Inflation may increase the cost of long-term care in the future.”

The regulators might also add this question: “If you plan to pay premiums from your income, have you thought about how a change in your income would affect your ability to continue to pay the premium?”