Virginia HB 997

Long-term care insurance; premium rate increases; regulations. Requires regulations promulgated by the State Corporation Commission for long-term care insurance rates to (i) provide a cap on premium rate schedule increases; (ii) require any capped premium rate schedule increase to be spread by the insurer over a period of not less than five years, during which time no further rate schedule increases may be requested; and (iii) prohibit additional premium rate schedule increases after prior cumulative rate schedule increases amount to 250 percent of the original premium. Under the bill, no additional rate increases shall be approved for a long-term care insurance policy that has already reached or surpassed the limit of 250 percent of its original premium. The bill directs the Commission to adopt regulations to implement the provisions of this act, including by establishing a regulatory cap on premium rate schedule increase for long-term care insurance policies that is no more than 30 percent of the maximum amount of premium rate schedule increase permitted under current regulations, as calculated on the request date of the premium rate increase.