What This Substack Page Is About.

In 2004, my wife and I purchased Long-Term Care insurance (LTCI) policies from General Electric Assurance Company, which later became Genworth Financial.

At the time we purchased our policies, the annual premium was $1,170 for each policy. Today, as a result of the premium increases allowed by the Connecticut Insurance Department (CID), our premium is $4,116.32 for each policy. With future increases already approved, by 2026, our premium will be $5,209.75 for each policy. That is an increase of over 400%.

Because of my 40+ years of experience in the Property & Casualty Insurance industry, I was confused as to why these premiums got so out of control.

The LTCI industry states many reasons why these increases are needed for their survival. The CID, while reducing the amount, approves almost all of the requests, leaving the policyholders, most of whom are seniors, and living on social security to make a choice;

• Choose between paying rent and buying groceries, or pay for their LTCI,

• Reduce their benefits to temporarily reduce their premiums, only to find that a few years later, they are hit with more premiums,

• Use the premiums paid as their policy benefit so they pay no future premiums, but now have a policy that is near worthless,

• Forfeit their now unaffordable policy which leave the insurance company with all of the collected premiums but no future liability.

All of these options benefit the insurance company in some way but give little or no benefit to the policyholder.

In 2022, I launched my own investigation to understand why these increases have occurred. From my review and analysis of hundreds of pages of data obtained under a Freedom of Information Act (FOIA) request, I have concluded that this premium crisis is no accident. I believe the industry as a whole, knew what they were doing, and created this crisis to enrich themselves, at the expense of the policyholders, who were misled at best and lied to at worst when they purchased their policy.

While the focus of my investigation was Genworth Financial, and the actions in Connecticut, we are not alone. These patterns apply to most companies and is a national issue.

My goal for this page is to pull back the curtain, on how the world of insurance works, how the LTCI industry broke the rules governing insurance, how the buying public was misled about what to expect in the future and explain how the CID, the Office of the CT Attorney General, the state legislature and the Office of the Governor, seem uninterested in solving this problem and would rather protect the insurance industry, rather than the citizens of CT.

I have also written a comprehensive white paper that explains most of what will be discussed here in the coming weeks. If you would like a free pdf copy, write to me at: ltcicrisis@gmail.com.

I hope you will join me on this journey by subscribing to this substack page. If you are a LTCI policyholder, I would love to hear from you. Especially if you live in CT.

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