Thank you for your interest in the Federal Long Term Care Insurance Program (FLTCIP). As you consider submitting an application for coverage, it is important for you to know that the U.S. Office of Personnel Management (OPM) recently awarded a new contract for the FLTCIP. This may affect your decision to apply now.
OPM originally contracted with John Hancock Life Insurance Company and Metropolitan Life Insurance Company as the insurers for the first FLTCIP contract term. The first FLTCIP contract ended on April 30, 2009, although the current services and insurers will continue for up to 10 months after that date to transition to the new contract.
OPM awarded the contract for the next 7-year period to John Hancock, which will serve as the sole insurer. Long Term Care Partners will remain as the Program administrator.
Please click here to read OPM’s press release announcing the contract award. Click here for frequently asked questions about the new contract.
In addition to your own specific financial, family, and health situation, you should consider the following:
- Premium rates for certain enrollees with automatic compound inflation (ACI) protection will increase under the new contract on or about January 1, 2010. If you apply now and are approved for coverage, and you are under age 70 and choose ACI, your premium rate will also increase on or about January 1, 2010.
Here are the premium increases by age at application for enrollees who purchase the automatic compound inflation option:
| Age at application |
Premium increase |
| 65 and younger |
25% |
| 66 |
20% |
| 67 |
15% |
| 68 |
10% |
| 69 |
5% |
| 70 and older |
None |
- John Hancock will send all current enrollees personalized information this Fall, including how to make changes to current benefits to avoid the premium increase. If you are approved for coverage now, you will also receive these choices this Fall.
- OPM anticipates that new benefit options will be available for new applicants approved for coverage sometime this Fall. If you are approved for coverage now, the personalized information you receive this Fall will include information on how to change to the new benefit options.
- Premiums are based on your age when you submit your application. If you submit an application after your next birthday, your premiums (and any applicable increase) will be based on that higher age.
- Applications are underwritten. That means that certain medical conditions or combinations of conditions will prevent some people from being approved for coverage. If you are currently in good health, waiting to apply always carries the risk of developing a condition that may make you uninsurable.
- If you are eligible to apply with abbreviated underwriting now, keep in mind your opportunity ends 60 days after your hire/eligibility date. If you want to apply after those 60 days, you will have to apply with full underwriting, which requires you to answer more questions about your health status. The availability of any other opportunities to apply with abbreviated underwriting and the underwriting standards under the new contract have not yet been announced.
Revised 051209
| Call: 1-800-LTC-FEDS (1-800-582-3337) (TTY: 1-800-843-3557) |
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