Arthur Rudnick
Guru
- 1,652
It was just announced that John Hancock is filing for an average rate increase of 20% on the majority of their LTC policy series.
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It was just announced that John Hancock is filing for an average rate increase of 20% on the majority of their LTC policy series.
So are these new rate increases on policies not protected from the new premium increase regulations ?
originally posted by CALTCAgent
And, what non-existent regulations are those?
Looks like policy series from 2006-2015
There have been some threads about this. That new regulations were in place that took the profit out of rate increases, etc.
originally posted by CALTCAgent
The regs, (IMO) are either bogus or non-existent. It's supposed to be part of The Model Act and limits rate increases to rare exceptions.
Let's see:
Hancock just announced a rate increase on most of their policies series up to 2015, today MOO announced rate increases in about 10 states and Genworth's new plan of attack is to request a 10% rate increase every year.
This is not a "profit" issue. It's due to lower Reserves that are mandated by the states.
I guess no one read the regs.
However, I'm sure I'll quickly be corrected in my assumption.......
where did you read that genworth wants a 10% increase every year?
Originally posted by Mr_Ed
Thomas Mcinerney has been on record a number of times stating that.
He says that rather than ask for 20%-30% increases every few years, he wants to raise rates every year.
Look it up...............
My recollection is McInerney did not state Genworth WILL request rate increases every year. What I believe occurred is he was having a conversation and he stated his thoughts that he felt he preferred a business model where there would be more frequent but much smaller rate increases, rather than a business model where insurance companies would need to get a huge rate increase of 60% for instance.