Carrier Updates

Mutual of Omaha Express: A Weekly Update for Mutual of Omaha’s Brokerage Sales Distribution

LTC Webinar Series

Webinar: Back the Basics of LTCi

Save the date!  Join Mutual of Omaha September 17th when they go back to the basics of long-term care insurance.

New Sales Idea: Help Clients Stay at Home

By walking through how LTCi provides in-home services, you can help clients feel more secure in their purchase of an LTCi policy … and, possibly help keep them in their home longer.

Preparing for the Health Interview

You just completed a long-term care application. Before you head out the door, make sure your clients know what happens next.

Submit Your First LTC e-Application Today!

Time is money. Save both by completing and submitting long-term care insurance applications online.

Critical Illness

Cancer Survival Rates Continue To Increase

What happens after surviving cancer? A tough battle deserves the right team!

Designed With Your Recovery In Mind

The Critical Advantage Portfolio offers a number of flexible benefits and options.

A Portfolio With A Plan

The Critical Advantage Portfolio℠ offers protection for various stages of life.

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VIEW EXPRESS ARCHIVE

As a leading long-term care insurance carrier, Mutual of Omaha has a responsibility to their policyholders and distribution partners to ensure their pricing strategy and product offerings are effective. They have been monitoring industry trends, internal claims data and the economic environment over the past several years. As a result, they are refreshing their rates and implementing benefit option changes to the MutualCare® Solutions Portfolio effective September 1, 2020.*

The details are outlined below:

Impacted States

Alabama, Alaska, Arkansas, Colorado, Georgia, Idaho, Illinois, Iowa, Kentucky, Louisiana, Maine, Michigan, Minnesota, Mississippi, Missouri, Nebraska, Nevada, New Hampshire, New Mexico, North Carolina, Ohio, Oklahoma, Oregon, Rhode Island, South Carolina, Tennessee, Texas, Utah, Virginia, Washington, West Virginia, and Wyoming

Rate Adjustments

Premium adjustments may vary by age, sex and benefit selection. You may view the new rates by referring to the quoting software beginning September 1, 2020.

Benefit Changes

Cash Benefit:

• MutualCare® Custom: 25% of home health care benefit up to maximum of $2,000 per month
• MutualCare® Secure: 25% of home health care benefit up to maximum of $2,000 per month

Partner Premium Allowances:

• Both Issued: 15%
• One Issued: 5%

Transition Rules

New paper and e-Applications for MutualCare Solutions will be required beginning September 1, 2020. Please discontinue use of all old applications. The following transition rules will apply:

Paper Applications

• Applications with a signed date of September 1, 2020, and later will get the new rates and benefits and will require the new application.
• Applications signed prior to September 1, 2020 and received in the Mutual of Omaha home office on or before September 11, 2020, will receive the current rates and product benefits.
• Old applications received after September 11, 2020, will not be accepted regardless of application sign date. Applications will be closed, and a new application will be required to apply for coverage. No exceptions will be made.

e-Applications

• If you have a pending e-Application started prior to September 1, 2020, your application must be signed prior to September 1, 2020 to receive the old rates and benefits. You can access your pending application, complete and submit like normal.
• Pending e-Application must be received in the Home Office no later than September 11, 2020, or it will not be accepted.

Quoting Software

Winflex, MutualCare® Solutions, and mobile quote software will be available for download effective September 1, 2020.

Marketing Materials and Forms

Marketing materials are in the process of being updated. You will be notified when the materials are ready to order.

Old Applications

• Paper applications are available for download only on Sales Professional Access until August 31, 2020.
• e-Applications will be available until August 31, 2020.

New Applications

• Paper applications will be available to order through your normal ordering channels on August 19, 2020.
• e-Applications will be available on September 1, 2020 on Sales Professional Access.

MutualCare® Solutions Portfolio is Designed for Long-Term Stability

Mutual of Omaha has decades of expertise developing products and pricing them effectively for the long run. They sold their first long-term care insurance policy in 1987, and since then, they’ve paid over $1.1 billion in benefits to their policyholders. That means they will continue to be here for your clients when they need us most.

Although Mutual of Omaha understands these changes may impact your business, the benefits that make Mutual of Omaha unique in the standalone LTCi space remain in place. They include:

• Calendar Day Elimination Period
• Cash or Reimbursement Benefit
• Home Health Care
• Monthly Benefit
• Inflation Buy-Up

*These changes do not impact the LTC Rider or LTC17W.

READ COMPETITIVE BROCHURE

From the Desk of Marty Johnson, Vice President – Individual Underwriting, Mutual of Omaha

Mutual of Omaha is pleased to announce we are lifting restrictions for LTC applications age 65 and over in additional states effective July 6, 2020. Please refer to the Frequently Asked Questions document for a current list of all states and effective dates.

• Connecticut
• District of Columbia
• Illinois
• Massachusetts
• Michigan
• New Jersey
• New York
• Rhode Island

We continue to evaluate lifting issue age restrictions for additional states. Until then, all states not identified must follow the guidelines and processes outlined in our temporary underwriting guideline communication.

Reminder: Underwriters will initiate scheduling the face-to-face assessments for LTC applicants age 65 and over after medical records have been received, reviewed and considered favorable for insurability. This new process ensures we are only requesting face-to-face assessments on individuals who are indeed insurable, subject to the completed assessment.

Thank you for your patience and understanding.

DOWNLOAD FAQ

From the Desk of Steve Pike, National Sales Director, Mutual of Omaha

Beginning July 1, 2020, we are pleased to announce a producer incentive contest for Mutual of Omaha’s Critical Advantage Portfolio. Your producers can earn cool cash for writing two or more Critical Illness, Cancer and Heart Attack & Stroke applications in any combination.

Applications must be submitted and placed between July 1 and August 31, 2020. Watch for more details coming soon.

EssentialLTC Available in California

The National Guardian Life Insurance Company (NGL) EssentialLTC Long-Term Care insurance product is now available in California effective July 6, 2020. Click here to read the complete news release.

“The comprehensive features available with NGL’s long term care product offer the residents of California another Long-Term Care insurance option as they evaluate their coverage needs. Including an affordable Long-Term Care insurance policy in their financial planning portfolio can provide peace of mind and help to protect families against the financial and emotional consequences of a long term care event,” said Joe Guyotte, NGL National Sales Manager, Individual Products.

EssentialLTC Features Include:

• Lifetime benefits
• Joint policies and premiums
• Shared Benefit Amount Rider with third pool benefits
• 1035 Exchange eligible
• Flexible premium payment options, including single premium payment or 10-year premium payment

Click here to login to the Agent Resource Center and download the EssentialLTC Product Introduction Guide. Click here for the EssentialLTC Product Feature Availability (state variation listing).

New and Improved Rate Calculator Available

NGL is excited to release their new, easy-to-use EssentialLTC rate calculator. It was designed as a way to quickly run a quote and see the value proposition of the plan. Click here to start using the new rate calculator. Don’t forget to bookmark the link so you can easily use it in the future.

Rate Calculator Features:

• 1-page quick quote output that can be given to your prospect
• No login required to use rate calculator
• Optimized for mobile device or tablet use
• Provides on-screen images as you input the plan design

Please note: The rate calculator was not designed to be a full illustration or to replace the need for the illustration.

Given the industry’s historically low interest rate environment, and that insurance products with guarantees tend to be more sensitive to macroeconomic trends, Lincoln is making prudent and responsible business decisions to adjust the pricing of our products.

Effective June 15, 2020, Lincoln Financial implemented pricing increases to all products in the Lincoln MoneyGuard solutions suite. Adjustments on flex-pay designs will see a pricing increase of approximately 15%. Single-pay designs will see a pricing increase of approximately 20%.

Additionally, Return of Premium (ROP) on Lincoln MoneyGuard® II in California is being updated to bring consistency across the MoneyGuard product suite. The Basic ROP option will be 70%. The Vested ROP option will begin at 70% and grade up to 100% over six years.

As a leader in the hybrid long-term care marketplace, Lincoln remains steadfastly committed to developing and providing your clients with best-in-class products

It is important to note that no changes will be made to the contract language, forms, compensation or benefits provided.

How This Change Impacts Your Business

• For applications to qualify for the current pricing, a projection of values and the completed application Part 1 must be signed, dated and received in good order by Lincoln’s home office by Friday, June 26, 2020.
• For pending or issued business, after June 15, 2020, Lincoln will accept requests with a revised projection of values to change to new pricing.
• For placed business, normal internal replacement guidelines apply. Rewrites will not be accepted.
• All pending business must be issued, or 1035 exchanges initiated (where applicable), on or before August 28, 2020.
• As of June 15, 2020, Lincoln DesignItSM and WinFlex will be updated to reflect the new rates. During the transition period both current and new rates can be run.

Standard MoneyGuard Rules Apply During This Transition

• Ensure that you are appropriately credentialed. Clients of advisors who are not properly credentialed to solicit business when the paperwork is submitted will be subject to the premium rates in effect on the date when the advisor becomes properly credentialed and resubmits the paperwork.
• Remember that once an application is submitted, the Personal History Interview (PHI) must be completed within 60 days of submission. In addition, the case must be placed within 90 days of the PHI. If these conditions are not met, the case will be closed out. If a case is reopened, a new Part 1 must be submitted, and the case will be subject to the product available at that time.
• NY Reg 187: Please note that effective February 1, 2020, financial professionals are now required to complete two pre-sale training courses prior to soliciting new business or servicing existing business in New York. Specifically, the trainings include: 1) NY Regulation 187 Best Interests Training; AND 2) Carrier Specific Product Training

You will not need to retake these trainings if you have already completed them (this rate change does not require any additional product training). In accordance with NY Regulation 187, the enhanced documentation and suitability review are still required before policy issue.

Securian Financial is committed to building secure tomorrows by doing the right thing today. To deliver on this promise and in response to the historically low interest rate environment, Securian Financial will implement the following product updates to SecureCare in all Compact states and South Dakota on July 18, 2020. These updates will be implemented in other states as they are approved. Please note: these changes impact new business only, there are no changes to in-force policies. There is no change to the product structure, contract language, forms, compensation or types of benefits provided.

Pricing Update

Given the extremely low interest rate environment and historic volatility in the markets, increasing premiums is a necessary step to ensure policyholders are protected and to maintain the long-term vitality of the product. The pricing updates were carefully selected to ensure SecureCare remains highly competitive in the linked-benefit space.
For new business only, expect premiums to increase an average of:
• Single-pay: 13.5%
• 5- and 7-pay: 10.5%
• 10- and 15-pay: 7%

Payment Durations Extended to Age 80

Securian Financial is dedicated to providing your business and the people we serve together with flexible and practical solutions for long-term care, which is why the maximum payment age is being increased from 75 to 80 years old. Please note: due to COVID-19, SecureCare policies are only being issued to applicants age 70 and younger until at least September 15, 2020.

Ultimately, Securian Financial’s historical approach to smart growth and strong enterprise risk management keeps us well-positioned to manage these uncertain times and remain a top competitor in the linked-benefit space.

Key Dates

• Monday, July 6, 2020: illustration software will be updated to reflect new pricing.
• Friday, July 17, 2020: applications must be signed, in good order and received by Securian Financial’s home office or submitted via eApp by 3 p.m. CT to receive the old rates.
• Saturday, July 18, 2020: SecureCare Universal Life’s new pricing and extension of payments to age 80 will be implemented in the Compact states1 and South Dakota

Mutual of Omaha Announces LTC Issue Age Restriction Lifted in Select States

From the Desk of Marty Johnson, Vice President, Individual Underwriting, Mutual of Omaha

As the stay-at-home orders begin to lift and local businesses start to reopen, we are happy to announce that Mutual of Omaha is also lifting some restrictions on LTC applications where the ability to obtain face-to-face interviews has improved.

With this good news, beginning June 15, 2020, Mutual of Omaha will accept LTC applications for clients age 65 and over in the following states: Alabama, Alaska, Arizona, Arkansas, Colorado, Delaware, Florida, Georgia, Hawaii, Idaho, Indiana, Iowa, Kansas, Louisiana, Maryland, Mississippi, Missouri, Montana, Nebraska, Nevada, North Dakota, Oklahoma, South Carolina, South Dakota, Tennessee, Texas, Utah, West Virginia, Wisconsin and Wyoming.

Mutual of Omaha will continue to evaluate lifting the restrictions for additional states. Until then, all remaining states will continue to follow the temporary guidelines and processes outlined in Mutual of Omaha’s previous temporary underwriting guideline communication.

In addition, underwriters will initiate the scheduling of face-to-face assessments for LTC applicants age 65 and over after medical records have been received, reviewed and they are favorable for insurability. This will ensure we are only requesting face-to-face assessments on individuals who are indeed insurable, subject to the completed assessment. This avoids the inconvenience of going through an assessment during this difficult time, only to be deemed uninsurable based on the medical records. This will also provide additional communication touchpoints with the producer during the underwriting process as each step is completed.

Please refer to Frequently Asked Questions or the MutualCare Solutions Underwriting Guide for any questions you may have.

A note from the desk of Marty Johnson, VP Individual Underwriting with Mutual of Omaha.

State government social distancing responses change daily, and it is increasingly difficult to know which of our distribution partners have the ability to maintain back office support for policy receipt and delivery. We also understand that any back-office support you have available today may be forced to discontinue tomorrow as the situation continues to evolve. Therefore, as an interim solution, we will begin mailing all LTC insurance policies direct to our customers effective Tuesday, April 21, 2020.

This change is being implemented with the best interests of our customers and distribution partners in mind to ensure timely policy delivery to our customers in this ever-changing environment. We ask that you work with us to adapt to this new delivery process in the short term as we continue to explore other delivery solutions. However, respecting your business model is important to us. If this change will significantly impact your business, please contact your Sales Director immediately to request an exception to this process. Please know that this may take 48-72 hours to be effective.

We have received several requests to email pdfs of the policy output in lieu of having an e-delivery option. Currently, we are not able to offer widespread emailing of policies; however, we are exploring this option. Policy delivery updates on our products will be provided as they are available.

Updated LTC Policy Output Procedures

Beginning April 21, 2020, all LTC insurance policies with or without delivery requirements will be mailed directly to the policyholder. Your agency and producers will not receive a copy.

• An email will be sent to your office contact at time of policy issue listing any needed delivery requirements. A copy of the delivery requirements will not be attached.
• All delivery requirements will be included in the policy output package.
• Case Monitoring will reflect all outstanding and received delivery requirements.
• Options to send back delivery requirements include:
  • By mail: A return envelope will be included for the customer to return to our home office.
  • By fax: 1-888-539-6272.
  • By email: epsupport@ltcg.com Note: Please reference the FAQ on how to send emails securely.