How can one find out the rating of a LTC insurer? By rating, I miserable how frozen is it to collect when qualified?
A recent article in the NY Times illustrate how Long Term Care insurers scam the elderly by finding reasons not to settle up off on LTC insurance when the time comes that the elderly want support. I want to know if there is anything similar to a consumer's report that rates insurers on paying off when the stipulation is legitimate.
Answers:
My advice is stick near well certain companies. John Hancock and MetLife a good examples. There are several companies that trade LTC insurance. When purchasing a LTC policy be sure to read explanation of benefits and the policy. A typical LTC policy requires 2 out of 5 activities of day by day living (eating, bathing, toileting, dressing and transferring) the policy will be specific as to what constitutes the inability to perform 2 of the afore mentioned ADL's.
Be shattered of articles you read about insurance. Many the media and the media within general tend to kind isolated cases appear to be a national crisis. Just stick with in good health known companies and you can't be in motion wrong.
OK, the RATING is the FINANCIAL rating, which can look up at www.ambest.com, and is COMPLETELY unrelated to LTC payouts.
There is nought that rates insurers on paying out. The CLOSEST thing at hand is, is your state insurance department's web site - where on earth they list complaints more or less specific companies. Usually, you have to hold the company name, consequently you can look up how many complaints they own.
If there are too oodles complaints, then the state insurance department looks into things.
I didn't read the article . . . but collectively, I've found that people's impression of what LTC covers is much, much different from what it in reality covers. Either the agents selling these policies aren't really giving good coverage descriptions, or the family buying them aren't listening. Hard to read aloud which.
I KNOW that "need" is legitimate. But the contract wording stands . .. and several, many folks never read the contract (aka policy).
The article to which you're referring is disgustingly misleading. The "journalist" who wrote it be only looking for a sensationalistic story; where on earth one didn't exist, he simply made it up.
I'm not saying within aren't problems, because there are some insurers that deny claims incorrectly -- but they don't do it across the board. When a claim is delayed or denied, the insured or his/her representative should contact his or her state's insurance commissioner's bureau in writing right away. Contrary to the blatently incorrect information given contained by the article, ALL commissioner's offices investigate complaints. If a complaint is sound, the commissioner has the authority to require compensation. Commissioner's office do not dawdle until they get a huge number of complaints on a subject until that time they act; this is a misconception. While this may trigger a "Market Conduct" investigation on the hindmost end, respectively individual complaint is investigated and acted upon FIRST.
The best way to attain the information you seek is to contact your state's insurance commissioner's organization and ask about the "complaint ratio" (justified verse unjustified) of the LTC insurers doing business in your state. Many hold this information posted on their web sites; you can also walk to the NAIC web site and look this up.