MetLife Inc. announced that it will discontinue the sale of new Long-Term Care Insurance (LTCI) coverage following an extensive review.
The insurer says that it will continue to accept new applications for individual LTCI policies received on or before Dec. 30, 2010. Additionally, in 2011, MetLife will discontinue new enrollments into existing group and multi-life LTCI plans. Timing will vary based on existing contractual obligations.
MetLife announced that its decision to stop writing new LTCI business will have no impact on existing insureds’ coverage. As long as premiums are paid on time, coverage cannot be cancelled. All current insureds can continue to make coverage changes per the terms of their policy or certificate, including inflation protection offers and requests to increase or decrease coverage.
“MetLife remains committed to our current LTCI policyholders and certificateholders and will continue to ensure that they receive quality service, particularly when needed most—at time of claim,” says Jodi Anatole, VP, Long-Term Care Products, for MetLife. “While this is a difficult decision, the financial challenges facing the LTCI industry in the current environment are well known.”