Life Care Funding Group will discuss the NCOIL Life Insurance Consumer Disclosure Model Law adoption across the United States
(June 28, 2011) – Chris Orestis, the CEO of Life Care Funding Group will open the second day of the annual meeting for the American Health Care Association’s State Associations’ Executive Directors on August 5th. The presentation will focus on the implications for long term care providers of the Life Insurance Consumer Disclosure Model Law passed unanimously in November, 2010 by the National Conference of Insurance Legislators (NCOIL). A number of states including California, Connecticut, Kentucky, Maine, New Hampshire, Oregon, Washington State, Virginia and Wisconsin already have passed or are now considering “life insurance consumer” disclosure laws for their states.
The law requires that life insurance companies inform policy holders above the age of 60, or with a terminal or chronic condition, that there are eight approved alternatives to the lapse or surrender of a life insurance policy. NCOIL declared that final passage of the Life Insurance Consumer Disclosure Model Law is intended to be “a strong stand for life insurance policy owners and would empower consumers through education about their options.” The adoption of this law in the states is a direct response to the explosion of Baby Boomers reaching retirement age, anemic sales and significant disruption in the long term care insurance market, and a realization that billions of dollars worth of life insurance is abandoned every year by people who do not know their legal rights or options.
“Providers of long term care services such as nursing homes, assisted living communities and home health agencies, as well as state governments, are realizing that there is tremendous value for the consumer in converting life insurance policies to help pay for the costs of long term care”, explained Chris Orestis. “By converting a life insurance policy instead of abandoning it, the policy owner’s care can be covered by the monthly long term care benefit payouts and the life insurance asset can be spent-down in a Medicaid compliant fashion—while preserving a portion of the death benefit during the extended private-pay time period.”
About Life Care Funding
Life Care Funding Group (www.lifecarefunding.com) can be reached at 888-670-7773 or info@lifecarefunding.asgr-prod.findsomewinmore.com.