As a result of an ongoing review of their LTCI block of business, Genworth announced today that they will suspend California sales of their individual LTC products, California Choice and Choice Partnership, effective March 21, 2013. This will be in place until they receive the necessary approvals to launch the Privileged Choice ® Flex product in California.
Why did Genworth decide to suspend the sale of these products now?
California Choice and Choice Partnership were originally priced in 2007. Their assumptions have changed since these products were originally filed. At this time, they are no longer willing to offer the California Choice and Choice Partnership products with those pricing assumptions. The Privileged Choice Flex and Partnership products that are currently filed in California include updated pricing assumptions and product design changes that are designed to provide a more acceptable return profile.
Will Genworth remain in the long term care insurance market?
Genworth remains focused on providing smart, sustainable strategies and products. As an example, Genworth anticipates launching their new Privileged Choice Flex 2 product in 31 states, on April 15, 2013.
Click here for complete transition rules and frequently asked questions on these changes.
Transition Rules:
Paper Applications
3/21/13 Last valid application sign date for applications
3/28/13 Last valid Home Office Receipt Date for applications dated 3/21/13 or prior. Applications must be received by 3:00 PM EST
LTC App Wiz & LTC e-App
3/21/13 Last day to submit applications via e-Tools by 8:00 PM EST
LTC Quick Request
3/21/13 Last day to submit all electronic Quick Requests by 8:00 PM EST
3/21/13 Faxes for paper Quick Requests must be sent to 866-360-9355 no later than 5:00 PM EST
4/21/13 Quick Request Application Interviews must be complete
5/20/13 Last valid Home Office Receipt Date for applications
If you have any pending California business: please contact Newman Long Term Care immediately at 800-625-9267 for help in getting your business written.