Oklahoma § 36-4400 - Criteria for inflation protection coverage

§ 36-4400. Criteria for inflation protection coverage

A. In accordance with Section 6021 of the Deficit Reduction Act

of 2005 (P.L. 109-171) and any applicable provision relating to the

Oklahoma Long-Term Care Insurance Partnership Program, any policy

intended to meet the requirements under such Program must meet the

following criteria for inflation protection coverage:

1. For a person who is less than sixty-one (61) years of age as

of the date of purchase of the Partnership policy, such policy

provides annual inflation protection of at least three percent (3%)

per year compounded annually or a rate, compounded annually, that is

based upon changes in the consumer price index;

2. For a person who is at least sixty-one (61) years of age but

less than seventy-six (76) years of age as of the date of purchase

of the Partnership policy, such policy provides annual inflation

protection of at least three percent (3%) simple or a rate that is

based on the annual consumer price index;

3. For a person who is at least seventy-six (76) years of age

as of the date of purchase of the Partnership policy, such policy

may provide inflation protection.

B. Persons who purchase a Partnership policy that meets the

inflation protection criteria in subsection A of this section may

adjust their inflation protection as they age. Their policies will

maintain Partnership status as long as the inflation protection

continues to meet the minimum requirements for their attained age.

C. For the purposes of this section, "consumer price index"

means the consumer price index for all urban consumers as determined

by the Bureau of Labor Statistics within the United States

Department of Labor. The Insurance Commissioner may approve an

alternative index to be used in place of the consumer price index or

alternative inflation protection programs developed by the insurer

if the Commissioner deems that such programs would meet the intent

of this section.

Added by Laws 2014, c. 99, § 1, eff. Nov. 1, 2014.