According to the article, on August 1, with no warning, new enrollees for the FLTCIP program found out rates were going up! It was reported that the OPM, Office of Personnel Management decided to withhold this rate increase so they did not confuse people who obtained insurance prior to the August 1 rate change.
The Federal Long Term Care Insurance Program (FLTCIP) is offered through a contract between the OPM and John Hancock Life & Health Insurance Company. This was an unusual event because these contracts are negotiated and announced months in advance; waiting to the last minute was a surprise to many federal employees who had not yet elected for the voluntary coverage options available.
Like many other people considering long-term care insurance however, it goes to show you that putting off that decision to protect your future health care needs can and will cost you money.
The premium increase affects federal employees, military personnel, retirees, and certain family members. According to the article, the rate increase was determined by both OPM and John Hancock to plan for adequate coverage of claims for future healthcare costs. Considering 70% of people age 65 and older will require some form of long-term care health assistance, it is a smart to make sure the company you choose will have the money to pay when the bills come due.
That is why the specialists at California Long Term Care not only work with John Hancock Life & Health Insurance Company, but many other top quality providers to find you the best coverage at a fair and reasonable price. Working with a specialist in long-term care health planning can save you the headaches and frustration that come with picking the wrong company, or being caught in an unexpected rate modification.
Fill out the form to the right of this page to contact your California Long Term Care insurance specialist today for a free review of your options!