054.00.13-13. Requirement to Offer Inflation Protection.
AR ADC 054.00.13-13Arkansas Administrative Code
Ark. Admin. Code 054.00.13-13
054.00.13-13. Requirement to Offer Inflation Protection.
A. No insurer may offer a long-term care insurance policy unless the insurer also offers to the policyholder in addition to any other inflation protection the option to purchase a policy that provides for benefit levels to increase with benefit maximums or reasonable durations which are meaningful to account for reasonably anticipated increases in the costs of long-term care services covered by the policy. Insurers must offer to each policyholder, at the time of purchase, the option to purchase a policy with an inflation protection feature no less favorable than one of the following:
B. Where the policy is issued to a group, the required offer in Subsection A above shall be made to the group policyholder; except, if the policy is issued to a group as defined in Ark. Code Ann. ยง 23-97-304(6) other than to a continuing care retirement community, the offering shall be made to each proposed certificate holder.
F. An offer of inflation protection that provides for automatic benefit increases shall include an offer of a premium which the insurer expects to remain constant. The offer shall disclose in a conspicuous manner that the premium may change in the future unless the premium is guaranteed to remain constant.
G. (1) Inflation protection as provided in Subsection A(1) of this Section shall be included in a long-term care insurance policy unless an insurer obtains a rejection of inflation protection signed by the policyholder as required in this Subsection. The rejection may be either in the application or on a separate form.
I have reviewed the outline of coverage and the graphs that compare the benefits and premiums of this policy with and without inflation protection. Specifically, I have reviewed Plans __________, and I reject inflation protection.
Current with amendments received through February 15, 2024. Some sections may be more current, see credit for details.
Ark. Admin. Code 054.00.13-13, AR ADC 054.00.13-13
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