§431:10H-114  Life insurance policies offering long-term care benefits.  (a)  At the time of policy delivery, a policy summary shall be delivered for an individual life insurance policy that provides long-term care benefits within the policy or by rider.  In the case of direct response solicitations, the insurer shall deliver the policy summary upon the applicant's request, but regardless of the request shall make delivery no later than at the time of policy delivery.  In addition to complying with all applicable requirements, the policy summary shall also include:

     (1)  An explanation of how the long-term care benefit interacts with other components of the policy, including deductions from death benefits;

     (2)  An illustration of the amount of benefits, the length of benefit, and the guaranteed lifetime benefits if any, for each covered person;

     (3)  Any exclusions, reductions, and limitations on benefits of long-term care;

     (4)  A statement that any long-term care inflation protection option required by section 431:10H-220 is not available under this policy;

     (5)  If applicable to the policy type, the summary shall also include a disclosure of the effects of exercising other rights under the policy, a disclosure of guarantees related to long-term care costs of insurance charges, and current and projected maximum lifetime benefits; and

     (6)  The provisions of the policy summary listed above may be incorporated into a basic illustration required to be delivered or into the life insurance policy summary that is required to be delivered.

     (b)  Any time a long-term care benefit funded through a life insurance vehicle by the acceleration of the death benefit is in benefit payment status, a monthly report shall be provided to the policyholder.  The report shall include:

     (1)  Any long-term care benefits paid out during the month;

     (2)  An explanation of any changes in the policy, for example death benefits or cash values, due to long-term care benefits being paid out; and

     (3)  The amount of long-term care benefits existing or remaining.

     (c)  Any policy advertised, marketed, or offered as long-term care or nursing home insurance shall comply with this article. [L 1999, c 93, pt of §2; am L 2007, c 233, §9]