It’s been no real surprise that many long term care insurance companies have raised their long term care insurance premiums as a result of historically low interest rates and other economic factors beyond their control. Never the less, the industry has been stunned at the recent announcement from CalPERS, the largest state-run long term care insurance plan in the country, that some policies would see rates increases of 85%.
The policies affected by this rate increase are those sold between 1995 and 2004 that provided lifetime benefits with or without inflation protection.