On October 05, 2021, the Transamerica Life Insurance Company filed for a 19.9 percent rate increase on its NEA group series long-term care policies. There are approximately 379 of these policies currently in force in Connecticut. The company is no longer marketing this product.

The company says it is seeking the increase because actual claims costs far exceeded projected costs that were calculated when the product was originally priced.

Unlike medical health insurance with premiums set to cover expenses incurred only during the upcoming policy year, long term care premiums are set to cover expenses that are not expected to occur until a distant date, sometimes 20 years in the future.

After Actuarial review, the Department disapproved the rate increase on April 21, 2022. Actual experience was somewhat above expected experience in total historically, but this decision reflects recent improvement, a large number of future increases still to be implemented and the block still needs to meet the 65% minimum over its lifetime.

###