NAC687B.0575. Standards of suitability: Insurer to provide form regarding long-term care insurance.

When an insurer or its agent provides the worksheet described in subsection 9 of NAC 687B.056 to an applicant, the insurer or its agent shall provide to the applicant a form entitled “Things You Should Know Before You Buy Long-Term Care Insurance,” which must be printed in not less than 12-point type and which must contain a statement in substantially the following form, set out conspicuously in the following format:

THINGS YOU SHOULD KNOW BEFORE YOU BUY LONG-TERM CARE INSURANCE

Long-Term Care Insurance	A long-term care insurance policy may pay most of the costs for your care in a nursing home. Many policies also pay for care at home or in other community settings. Since policies can vary in coverage, you should read this policy and make sure you understand what it covers before you purchase the policy.
	You should not buy this insurance policy unless you can afford to pay the premiums every year. Remember that the company can increase premiums in the future.
	The personal worksheet includes questions designed to help you and the company determine whether this policy is suitable for your needs.
Medicare	Medicare does not pay for most long-term care.
Medicaid	Medicaid will generally pay for long-term care if you have very little income and few assets. You probably should not buy this policy if you are now eligible for Medicaid.
	Many people become eligible for Medicaid after they have used up their own financial resources by paying for long-term care services.
	When Medicaid pays your spouse’s nursing home bills, you are allowed to keep your house and furniture, a living allowance and some of your joint assets.
	Your choice of long-term care services may be limited if you are receiving Medicaid. To learn more about Medicaid, contact the Division of Health Care Financing and Policy of the Department of Health and Human Services.
Shopper’s Guide	Make sure the insurance company or agent gives you a copy of a booklet entitled “A Shopper’s Guide to Long-Term Care Insurance” by the National Association of Insurance Commissioners. Read it carefully. If you have decided to apply for long-term care insurance, you have the right to return the policy within 30 days and be refunded any premium you have paid if you are dissatisfied for any reason or choose not to purchase the policy.
Counseling	Free counseling and additional information about long-term care insurance are available through the Nevada State Health Insurance Advisory Program of the Aging and Disability Services Division of the Department of Health and Human Services. Contact the Aging and Disability Services Division for more information about the Nevada State Health Insurance Advisory Program.
Facilities	Some policies of long-term care insurance provide for benefit payments in certain facilities only if they are licensed or certified, such as in assisted living facilities. However, not all states regulate these facilities in the same way. Also, many people move to a different state from where they purchased their policy of long-term care insurance. Read the policy carefully to determine what types of facilities qualify for benefit payments, and to determine that payment for a covered service will be made if you move to a state that has a different licensing scheme for facilities than Nevada.

     (Added to NAC by Comm’r of Insurance by R121-07, 9-18-2008, eff. 10-1-2008)