LTC Bulletin from Genworth: Genworth Life Insurance Company Confirms Launch of Its Long Term Care Partnership Program-Qualified Policies in Florida 

Florida’s Department of Insurance issued final regulations allowing Genworth Life Insurance Company (Genworth Life) to launch its Long Term Care Partnership Program effective July 30, 2007.

Genworth Life is proud to have played a leadership role in this endeavor, driving a united industry lobbying effort to help Florida adopt and implement a Partnership Program as described in the Deficit Reduction Act of 2005.

Partnership Inflation Protection Requirements

The State has advised us that qualified long term care insurance (LTCI) policies are eligible for the Partnership Program if the appropriate age-required inflation options are chosen:

• Ages 18 to 60: Compound inflation protection required
• Ages 61 to 75: Some form of inflation protection (simple or compound) is required
• Age 76 plus: No inflation requirements (may be purchased by choice)

New Florida Training Requirements
ALL producers must complete, by July 30, 2007, a one-time training prior to soliciting/submitting Genworth Life LTCI applications.

Genworth Life Training Solution

In order to meet the Florida training requirements you can complete training in one of the following ways:

• Online at www.brainshark.com/genworth/FlPartnershipExpansion       OR
• In person or via conference call (through your Genworth Life Sales Team)

Once training is complete, you must sign the acknowledgement form received at the end of the training and submit it to Genworth Life Producer Services at (434) 948-5928  (click here to download the acknowledgement form)

Training must be completed whether you are selling partnership or not.

Please Note: Failure to comply with these training requirements may result in the rejection of any Genworth Life long term care applications you submit until you have met these training requirements. Regardless of the training method, you must sign the acknowledgement form received at the end of training and submit it to Genworth Life Producer Services in order to sell LTCI in the state of Florida.

Point of Sale Changes

• On July 30, 2007 quote tools will be updated
• A Point of Sale form must be presented during the application process. The form will be made available through normal fulfillment channels.
• A new Consumer Partnership brochure will be available through normal fulfillment channels.

Exchange Procedures for LTCI Policies Sold Prior to July 30, 2007

Policyholders who purchased a Genworth Life LTCI policy prior to the launch date of July 30, 2007 but after March 1, 2003, will be offered to exchange that policy (as permitted by Florida regulation) to a new Genworth Life Partnership plan. Two types of exchanges available: like-for-like and upgrade.

• Like-for-like exchange
  Generally includes policies with the appropriate age-required inflation where the exchange will occur with no change in benefits, no change in premium and no additional underwriting.
• Upgrade exchange
  Generally, policies without the appropriate age-required inflation will be eligible to ‘upgrade’ to a partnership policy by adding the appropriate inflation protection (based on the client’s attained age). This upgrade will require a new application, underwriting, for the increase in coverage only, and, if approved, an increased premium for the addition of the inflation protection rider.

Details on exchanges and the process for notifying policyholders will be made available by the end of this year. The actual exchange offering/process will begin in early 2008.

Reciprocity

Florida has indicated reciprocity will be allowed, subject to other states’ approvals.

More Information

Please go to the following website for more detailed information on Florida’s Medicaid regulations:  www.fdhc.state.fl.us/Medicaid