California Insurance Code

§ 10237.5

INS § 10237.5 Effective Jan 1, 2000Div. 2 · Part 2 · Ch. 2.6 · Art. 5

Statute text

(a)An inflation protection provision that increases benefit levels annually in a manner so that the increases are compounded annually at a rate not less than 5 percent shall be included in a long-term care insurance policy unless an insurer obtains a rejection of inflation protection signed by the policyholder.

(b)The rejection, to be included in the application or on a separate form, shall state: “I have reviewed the outline of coverage and the graphs that compare the benefits and premiums of this policy with and without inflation protection. Specifically, I have reviewed the plan, and I reject 5 percent annual compound inflation protection. Signature of Applicant Date”

Legislative history

Amended by Stats. 1999, Ch. 947, Sec. 18. Effective January 1, 2000.