Virginia House Members Seek Answer to FLTCIP Increase
In a letter issued last week to Beth Cobert, the Acting Director of the Office of Personnel Management (OPM), Representatives Don Beyer (D-VA) and Gerry Connolly (D-VA) demanded answers regarding the recent increase in premiums for enrollees in the Federal Long-Term Care Insurance Program (FLTCIP).
The increase in premiums will affect most enrollees, varying between 0 to a 126% increase, with the average rate increase of 83%, or $111 more per month.
In the letter, Connolly and Beyer wrote:
“For those on a fixed or limited income, such an increase is simply unaffordable. By comparison, the last time OPM awarded the seven-year contract to John Hancock Life and Health Insurance Company, premiums rose on average 17 percent, with some as high as 25 percent. It merits a reconsideration of how we structure FLTCIP so that price spikes at this extreme can be avoided.”
Additionally, the letter laid out a list of questions the members sought answers to, including:
- What accounted for the increase and how premiums are calculated?
- What kind of outreach or support is OPM offering to ensure enrollees are notified of the change?
- How are OPM and John Hancock working with enrollees to make rates more affordable?
- And are benchmarks incorporated to ensure actuarial projected values match actual value. If not, why?
Posted in From the Hill
Tags: Beth Cobert, Connolly, long term care insurance