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House of Representatives
Session of 2021 - 2022 Regular Session


Posted: December 7, 2020 01:24 PM
From: Representative Anthony M. DeLuca
To: All House members
Subject: Requiring Long-Term Care Insurance Rate Increase Request Notification
It is critical that we begin to address the outcry from older Pennsylvanians regarding the constant premium increases on long-term care insurance policies.

Our constituents have asked: “Why am I not notified when my long-term care insurer wants to raise my premium rate up to 80 percent?” The honest answer is that the insurers don’t notify policy holders of requested rate filings because they are not required to do so.

Although we can’t prevent the actual increases of flexible premium products, we can at least offer older Pennsylvanians the courtesy of being notified when their long-term care insurer is requesting a rate increase for the year ahead.

While the Insurance Department’s review process allows for comment before a new rate is implemented, most consumers are not aware that a rate increase has been requested, and are subsequently blindsided when theirs go up.

The least we can do for those being proactive by purchasing long-term care insurance is to notify them when rate filings occur, and before they receive notice that their premium has already been increased. I am sure that many of my colleagues are hearing from their constituents on the steady climb in long-term care premiums that were already expensive when originally purchased.

The Pennsylvania Insurance Commissioner held a public hearing in 2016 to discuss long term care premium increases. One of the most common consumer complaints is the lack of transparency for rate filings by insurers.

Last session this was HB 599.

Please join me in requiring issuers of long-term care insurance policies to notify the policy holder when submitting for a rate increase. Let’s help to keep our older constituents protected and informed on such important and costly matters.

Introduced as HB168