Naic: Long-term Care Insurance Model Act National Association Of Insurance Commissioners
Model state law of the NAIC setting minimum standards with which insurance products must comply if they are to qualify under the definition of a long-term care (LTC) insurance policy. These minimum standards include the following:
- Policies must be a GUARANTEED RENEWABLE CONTRACT.
- Specific illnesses (health problems) cannot be excluded from coverage.
- Summary of the policy in outline form must be provided the insured.
- FREE EXAMINATION "FREE LOOK" PERIOD must be included in the policy during which time the POLICYHOLDER may cancel the policy for any reason and receive the return of the premiums paid in.
- Essentially the same benefits for custodial care and skilled nursing care must be provided by the policy.
Popular Insurance Terms
Publication that lists premiums charged for products sold by an insurance company. A manual also has underwriting guidelines for agents. A life insurance rate manual includes minimum ...
Projections of future accidental losses based on analyses of historical loss patterns. A projected loss picture is used to determine the pure cost of protection and the resultant basic ...
Professional designation conferred by the International Foundation of Employee Benefit Plans and the Wharton School of the University of Pennsylvania. In addition to professional business ...
Irrevocable living trust (rights to make any changes are forfeited by the grantor permanently) in which the grantor forfeits control of all assets placed in the trust. However, the grantor ...
Coinsurance requirement such that if a loss is less than $10,000 and also less than 5% of the total of insurance to cover a loss, then the insurance company will not require that the ...
Authority that administers state laws regulating insurance and licenses insurance companies and their agents. ...
Record of losses, whether or not insured. This record is used in predicting future losses and in developing premium rates based on expectation of insured losses. ...
Situation in which several liability insurance policies are in force to cover the same risk, thereby resulting in higher limits of coverage than is required to adequately insure the risk. ...
Same as term Excess of Loss reinsurance: method whereby an insurer pays the amount of each claim for each risk up to a limit determined in advance and the reinsurer pays the amount of the ...
Have a question or comment?
We're here to help.