Bankers Commercial Life (LA)

Medicare Supplement Rate Increases Obtained

Rate increases for Medicare Supplement Plans A, B, C, and F have been successfully obtained in Louisiana, Oklahoma, and Texas. All notices will be mailed to affected policyholders by June 22. Effective dates of the increases are: Louisiana, July 15; Oklahoma, July 15; and Texas, August 1.

Follow-up letters will be sent to policyholders with claims dated prior to March 1, 2000, in all states except Arizona, Florida, and Missouri by June 25. These claims were part of the inventory created by CSRG on behalf of guaranty associations and were filed with BCL during the administration of the estate by the Texas Department of Insurance and United Teachers. Due to the lack of available historical claims information, an effort was undertaken to confirm payment of claims with providers, however, few responses were received. The follow-up letter provides general information regarding the claim and requests that the policyholder confirm that benefits have previously been provided. Responses must be received by August 31, thereafter the files will be permanently closed. No further follow-up is anticipated on these claims after August 31.

Finally, proof of claim packages were mailed by the Special Deputy Receiver to claimants including guaranty associations. The Special Deputy Receiver has agreed that NOLHGA may file an omnibus proof of claim on behalf of all guaranty associations. Task Force Counsel Frank O'Loughlin is compiling a package to be mailed to guaranty associations in the near future explaining the proof of claim process and any necessary actions that need to be taken by guaranty associations.

Task Force Chair - William Falck;   Staff Contact - Paul Peterson