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Frequently Asked Questions

Those insured under long-term care policies with Prudential Financial Inc. have reported rate increases. Currently, all Prudential LTC insureds should be aware that the insurance provider is being investigated by consumer-rights law firm Hagens Berman. Here, our attorneys provide Prudential long-term care insurance customers with information about the firm’s investigation of the allegedly fraudulent long-term care insurance premium rate increases.

ABOUT THE INVESTIGATION

Why is Hagens Berman investigating Prudential for raising long-term care insurance premiums?

Hagens Berman attorneys believe Prudential may improperly increase its customers’ long-term care premiums in a manner that violates its own policies. Hagens Berman believes those insured under long-term care policies deserve peace of mind and stability, and should not suffer the uncertainty of future excessive premium increases or, worse, having to cancel their contracts after having already paid large sums.

In pending litigation with another long-term care insurance provider, Hagens Berman has brought (and the courts have sustained) claims of breach of contract, fraud and violation of state consumer protection laws on behalf of a proposed class of policyholders. Prudential customers may have legal rights due to Prudential’s allegedly improper premium increases.

What is the controversy with Prudential?

Prudential claims that its policies do not subject consumers to disparate or discriminatory rate increases, but attorneys investigating this case believe Prudential may have increased its customers’ premiums improperly and has not done so uniformly for everyone in the same age category or premium class. According to the law firm, Prudential also may have failed to return premiums when certain policyholders have that right. Hagens Berman is investigating a lawsuit against the insurance company centered on these allegations.

What is a class-action lawsuit?

A class-action lawsuit is a civil lawsuit brought on behalf of a group or “class” of people who have been harmed or wronged as a result of the defendants’ alleged conduct, with at least one individual or entity acting as a representative of that group. While the issues in a class-action lawsuit can vary, the issues in dispute are common to all class members.

Who is included in this investigation into Prudential’s long-term care rates?

If you are insured under a Prudential policy for long-term care coverage or any other LTC policy, you may be affected. Contact us for further information using the form on this page.

What action do I need to take to participate?

Fill out the contact form on this page to find out your rights to potential compensation for Prudential’s allegedly improper long-term care premium increases and to speak to our team of consumer advocate attorneys about your LTC rates.

MY LONG-TERM CARE INSURANCE POLICY

What is the purpose of long-term care insurance policies?

Long-term care insurance serves as a financial safeguard for potential future needs. It assists in covering the expenses related to long-term care services, such as support with daily activities or care in nursing homes, especially in situations involving chronic illnesses or disabilities. Essentially, it should provide a financial buffer, ensuring that necessary care is accessible without draining personal savings.

When insurance companies like Prudential charge their customers disparate, discriminatory rates and improperly raise their premiums, vulnerable people can be harmed by the very LTC policies that are supposed to protect them as they age.

What kind of care is typically covered under a long-term care policy?

Long-term care insurance policies typically cover a range of care services designed to assist individuals with activities of daily living and other health-related needs as they age. The specific coverage can vary based on the policy and its terms, but common types of care that may be covered under LTC include:

  • Nursing home care.
  • Assisted living facility care.
  • Home health care.
  • Adult day care.
  • Hospice care.
Who pays the most for long-term care insurance?

The cost of long-term care insurance can vary based on several factors, including age, health, coverage features and the insurance provider. Generally, individuals who purchase long-term care insurance at a younger age and in good health tend to pay lower premiums. Older individuals or those with pre-existing health conditions may face higher costs or even difficulty obtaining coverage. LTC premiums are typically paid on a regular basis, and the amount can increase with age. Hagens Berman believes that Prudential may have been increasing long-term care premiums improperly, and that Prudential LTC policyholders may have rights under the law.

Who pays the most for long-term care insurance?

The cost of long-term care insurance can vary based on several factors, including age, health, coverage features and the insurance provider. Generally, individuals who purchase long-term care insurance at a younger age and in good health tend to pay lower premiums. Older individuals or those with pre-existing health conditions may face higher costs or even difficulty obtaining coverage. LTC premiums are typically paid on a regular basis, and the amount can increase with age. Hagens Berman believes that Prudential may have been increasing long-term care premiums improperly, and that Prudential LTC policyholders may have rights under the law.

Can the premium for a Prudential long-term care insurance policy increase with each renewal of the contract?

Yes, the premium for a long-term care insurance policy can increase with each renewal. Insurance companies may include provisions in the policy that allow them to raise premiums under certain circumstances.

What are my rights as a Prudential long-term care insurance policyholder?

When insurance companies put forth marketing materials and policies that state that premiums will not be increased unless they are changed uniformly for everyone in the same age group or premium class, the company must not increase premiums at different times, and in different amounts, for insureds within the same age group. Hagens Berman attorneys believe that Prudential may have improperly increased premiums and refused to refund prior premiums, and its customers may have legal rights.

Why has Prudential increased my long-term care insurance premium?

Increases in long-term care premiums, including Prudential’s long-term care insurance, are a trend nationwide. Hagens Berman attorneys believe that Prudential may have improperly increased rates out of step with its own stated policies, and, for some policyholders, may have improperly refused to refund prior premiums.

How can I reduce my long-term care premium?

Insurance companies may include provisions in the policy that allow them to raise premiums under certain circumstances. But Hagens Berman’s investigation indicates that Prudential may have been increasing premiums in violation of its own policies, and its customers may have rights under the law. Contact the firm to learn about your rights.

WHAT IF… 

What if I have discontinued my Prudential long-term care insurance policy?

If you have discontinued your long-term care policy with Prudential, you may still have rights against Prudential.

REPRESENTATION

Am I represented by Hagens Berman?

No. If and when Hagens Berman files a class-action lawsuit against Prudential, the firm will seek to represent a class of Prudential long-term care policyholders. Although we can provide some general advice as it pertains to the investigation into Prudential long-term care insurance premiums, our firm does not directly represent individuals of a proposed class.

Why should I sign up with Hagens Berman?

Sign up through the form on our website if you’d like to receive periodic updates about the progress of the investigation or to get in touch with a member of our team.

Note that completing our online form does not mean we represent you personally.