BALTIMORE – Commissioner Al Redmer, Jr. has convened an internal workgroup (the “Workgroup”) on Long-Term Care Insurance (“LTC”) to study the issues associated with the current state of the LTC marketplace in Maryland. Approximately 150,000 Marylanders are covered by long-term care insurance policies. “We’ve heard from long-term care insurance policyholders and carriers that there are issues associated with this specific type of insurance product. As the regulator, we’ve tasked a team of regulatory staff members to examine the issues, to hear from key legislators and stakeholders, and to make recommendations to address the most pressing concerns,” said Commissioner Redmer. “We know that this is a national issue so we will be looking at policy research already done in this area by the National Association of Insurance Commissioners as part of our process.”

The Workgroup will be co-chaired by Catherine Grason, Director of Regulatory Affairs and Adam Zimmerman, Actuarial Analyst, and will include: Jeff Ji (Senior Actuary), Joy Hatchette (Associate Commissioner, Consumer Education and Advocacy), Nancy Egan (Director of Government Affairs and External Relations),Tracy Imm (Director of Public Affairs), and Jamie St. Clair (Health Insurance Analyst).

 

The Workgroup has invited the following parties to present their views: 
o   Senator Adelaide Eckardt
o   Delegate Ben Kramer
o   Lorie Mayorga, Deputy Director Medicaid Eligibility Policy, Maryland Department of Health and Mental Hygiene (DHMH)
o   Beth Sammis, Consumer Health First
o   Melissa Barnickel, Principal Baygroup Insurance, LLC
o   Sally Leimbach, Maryland LTCI Roundtable, Joint Legislative Committee of Maryland Association of Health Underwriters (MAHU) and The National Association of Insurance and Financial Advisors of Maryland (NAIFA-MD)
o   Jeff Merwin, Director of LTC Brokerage, Capitol Metro Financial Services, Inc.
o   Amanda Matthiesen, Executive Director, Product Policy, America’s Health Insurance Plans (AHIP)
o   Susan Coronel, Executive Director, Product Policy, America’s Health Insurance Plans (AHIP)
o   Bill Weller, Consulting Actuary, America’s Health Insurance Plans (AHIP)
o   Rod Perkins, Vice-President, Government Relations, The American Council of Life Insurers (ACLI)

Members of the public are welcome to listen to these meetings via conference-call.  The meeting dates and topics will be as follows:

 

Monday, November 7, 2016 -- 11AM-12PM
Location: MIA Law Library, 27th Floor, 200 St. Paul Place, Baltimore, MD 21202
Toll-free dial-in number (U.S. and Canada): (866) 247-6034 (Conference code: 1573490062)
Topic: Ways to establish more transparency for LTC consumers during the rate review process 

1. Should the MIA post a company's actuarial memorandum and a summary document to its website upon a rate increase request?  We will discuss the merits of doing so and the potential format for such documents based upon Pennsylvania's Model. A draft will be circulated and posted on our website.
2. LTC Rate Request Hearings
3. Producer Notification of Rate Filings

 

Monday, November 21, 2016 -- 11AM-12PM
Location: MIA Law Library, 27th Floor, 200 St. Paul Place, Baltimore, MD 21202
Toll-free dial-in number (U.S. and Canada): (866) 247-6034 (Conference code: 1573490062)
Topic: Discuss the pros and cons associated with maintaining a 15% Cap on Rate Increases as well as the workarounds associated with the rate caps
1. Current Maryland Regulation, COMAR 31.14.01.04A(5), states “An insurer may not charge a renewal premium rate for a long-term care policy which exceeds by more than 15 percent any premium charged for the policy during the preceding 12 months.”

 

Monday, December 5, 2016 -- 11AM-12PM
Location: MIA Law Library, 27th Floor, 200 St. Paul Place, Baltimore, MD 21202
Toll-free dial-in number (U.S. and Canada): (866) 247-6034 (Conference code: 1573490062)
Topic:Communications and Education
1. Discuss ways to improve communication between the LTC Carriers and their policyholders.
2. What information would be needed from carriers to better understand the nature of the market in Maryland and how to obtain it? (e.g.- age of policyholder and spouse)

 

Monday, December 19, 2016 -- 11AM-12PM
Location: MIA Law Library, 27th Floor, 200 St. Paul Place, Baltimore, MD 21202
Toll-free dial-in number (U.S. and Canada): (866) 247-6034 (Conference code: 1573490062)
Topic: Possible Legislation
1. Tax Credits: Establish thresholds for tax credits based on age of policyholders and/or number of years paying premium.
2. Other ideas

For more information on long-term care insurance, visit: http://insurance.maryland.gov/Consumer/pages/LongTermCare.aspx

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