Section 760 IAC 2-3-1 - Individual long term care policiesAuthority: IC 27-8-12-7
Affected: IC 27-8-12
Sec. 1.
(a) The terms "guaranteed renewable" and "noncancellable" shall be used in an individual long term care insurance policy only with further explanatory language in accordance with the disclosure requirements of 760 IAC 2-4.(b) A long term care insurance policy issued to an individual shall not contain renewal provisions other than "guaranteed renewable" or "noncancellable".(c) The term "guaranteed renewable" may be used only when: (1) the insured has the right to continue the long term care insurance in force by the timely payment of premiums;(2) the insurer has no unilateral right to make any change in any provision of the policy or rider while the insurance is in force; and(3) the insurer cannot decline to renew, except that rates may be revised by the insurer on a class basis.(d) The term "noncancellable" may be used only when: (1) the insured has the right to continue the long term care insurance in force by the timely payment of premiums; and(2) the insurer has no right to unilaterally make any change in any provision of the insurance or in the premium rate.(e) The term "level premium" may only be used when the insurer does not have the right to change the premium.(f) In addition to the other requirements of this section, a federally tax-qualified long term care insurance contract shall be guaranteed renewable, within the meaning of Section 7702B(b)(1)(C) of the Internal Revenue Code of 1986, as amended.Department of Insurance; 760 IAC 2-3-1; filed Oct 30, 1992, 12:00 p.m.: 16 IR 857; readopted filed Sep 14, 2001, 12:22 p.m.: 25 IR 531; filed Oct 7, 2004, 1:00 p.m.: 28 IR 565; readopted filed Nov 27, 2007, 4:01 p.m.: 20071226-IR-760070717RFA; readopted filed November 26, 2013, 3:43 p.m.: 20131225-IR-760130479RFAReadopted filed 11/19/2019, 9:18 a.m.: 20191218-IR-760190497RFAReadopted filed 11/30/2022, 11:39 a.m.: 20221228-IR-760220302RFA