Insurance regulators in Texas seem to think some issuers of long-term care insurance (LTCI) are sending Texas residents unclear letters about LTCI rate increases.
The Texas Department of Insurance is concerned enough about the quality of LTCI rate hike letters that it has sent a bulletin about the topic, #B-0010-18, to all insurers that offer LTCI coverage in Texas.
The department “strongly encourages carriers to use plain language in all rate change notices and other communications,” department officials write in the bulletin.
(Related: The Dreaded LTCI Premium Increase Notice)
An LTCI rate hike notice should clearly explain the rate change, the consumer’s options, how to get more information, and any deadlines, officials say.
Officials also list some of the laws that apply when insurers ask for LTCI rate increases.