New Hampshire Code of Administrative Rules
Ins - Commissioner, Insurance Department
Chapter Ins 3600 - LONG-TERM CARE INSURANCE
Part Ins 3601 - LONG-TERM CARE INSURANCE
Section Ins 3601.27 - Nonforfeiture Benefit Requirement
Current through Register No. 12, March 21, 2024
(a) This section does not apply to life insurance policies or riders containing accelerated long-term care benefits.
(b) To comply with the requirement to offer a nonforfeiture benefit pursuant to the provisions of RSA 415-D:10:
(c) If the offer required to be made under RSA 415-D:10 is rejected, the insurer shall provide the contingent benefit upon lapse described in this section. Even if this offer is accepted for a policy with a fixed or limited premium paying period, the contingent benefit on lapse in Ins 3601.27(d)(4) shall still apply.
(d)
Triggers for a Substantial Premium Increase
Issue Age |
Percent Increase Over Initial Premium |
29 and under |
200% |
30-34 |
190% |
35-39 |
170% |
40-44 |
150% |
45-49 |
130% |
50-54 |
110% |
55-59 |
90% |
60 |
70% |
61 |
66% |
62 |
62% |
63 |
58% |
64 |
54% |
65 |
50% |
66 |
48% |
67 |
46% |
68 |
44% |
69 |
42% |
70 |
40% |
71 |
38% |
72 |
36% |
73 |
34% |
74 |
32% |
75 |
30% |
76 |
28% |
77 |
26% |
78 |
24% |
79 |
22% |
80 |
20% |
81 |
19% |
82 |
18% |
83 |
17% |
84 |
16% |
85 |
15% |
86 |
14% |
87 |
13% |
88 |
12% |
89 |
11% |
90 and over |
10% |
Triggers for a Substantial Premium Increase
Issue Age |
Percent Increase Over Initial Premium |
Under 65 |
50% |
65-80 |
30% |
Over 80 |
10% |
This provision shall be in addition to the contingent benefit provided by paragraph (3) above and where both are triggered, the benefit provided shall be at the option of the insured.
(e) Benefits continued as nonforfeiture benefits, including contingent benefits upon lapse, in accordance with subsection (d)(3) but not subsection (d)(4), are described in this subsection:
(f) All benefits paid by the insurer while the policy or certificate is in premium paying status and in the paid up status will not exceed the maximum benefits that would be payable if the policy or certificate had remained in premium paying status.
(g) There shall be no difference in the minimum nonforfeiture benefits as required under this section for group and individual policies.
(h) Premiums charged for a policy or certificate containing nonforfeiture benefits or a contingent benefit on lapse shall be subject to the loss ratio requirements of Ins 3601.18 or Ins 3601.19, whichever is applicable, treating the policy as a whole.
(i) To determine whether contingent nonforfeiture upon lapse provisions are triggered under (d)(3) or (d)(4), a replacing insurer that purchased or otherwise assumed a block or blocks of long-term care insurance policies from another insurer shall calculate the percentage increase based on the initial annual premium paid by the insured when the policy was first purchased from the original insurer.
(j) A nonforfeiture benefit for qualified long-term care insurance contracts that are level premium contracts shall be offered that meets the following requirements:
#8036, eff 5-1-04; ss by #10154, eff 6-25-12 (from Ins 3601.25 )