summary
Introduced
01/14/2026
01/14/2026
In Committee
01/14/2026
01/14/2026
Crossed Over
Passed
Dead
Introduced Session
2026 Regular Regular Session
Bill Summary
Long-term care insurance; premium rate increases; regulations. Requires regulations promulgated by the State Corporation Commission for long-term care insurance rates to (i) provide a cap on premium rate schedule increases; (ii) require any capped premium rate schedule increase to be spread by the insurer over a period of not less than five years, during which time no further rate schedule increases may be requested; and (iii) prohibit additional premium rate schedule increases after prior cumulative rate schedule increases amount to 250 percent of the original premium. Under the bill, no additional rate increases shall be approved for a long-term care insurance policy that has already reached or surpassed the limit of 250 percent of its original premium. The bill directs the Commission to adopt regulations to implement the provisions of this act, including by establishing a regulatory cap on premium rate schedule increase for long-term care insurance policies that is no more than 30 percent of the maximum amount of premium rate schedule increase permitted under current regulations, as calculated on the request date of the premium rate increase.
AI Summary
This bill requires the State Corporation Commission (SCC), which is the state agency that regulates insurance companies, to create new rules for long-term care insurance premium rate increases. These new regulations will put a limit, or "cap," on how much an insurer can raise premiums at one time. If an insurer requests a capped increase, they must spread that increase out over at least five years, and they cannot ask for another rate increase during that five-year period. Furthermore, the bill prohibits any further premium increases once the total cumulative increases for a policy reach 250% of its original premium; once a policy hits this 250% limit, no more rate hikes will be approved for it. The SCC is directed to set this regulatory cap at no more than 30% of the maximum increase allowed under current rules, calculated based on existing costs and without factoring in future inflation during the spread-out period. This aims to provide more predictability and protection for individuals holding long-term care insurance policies against potentially drastic premium hikes.
Committee Categories
Business and Industry
Sponsors (1)
Last Action
Continued to next session in Labor and Commerce (Voice Vote) (on 02/12/2026)
Official Document
bill text
bill summary
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bill summary
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bill summary
| Document Type | Source Location |
|---|---|
| State Bill Page | https://lis.virginia.gov/bill-details/20261/HB997 |
| BillText | https://lis.virginia.gov/bill-details/20261/HB997/text/HB997 |
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