Long-Term Care Insurance Disclosure Act of 2009

Long-Term Care Insurance Disclosure Act of 2009 - Directs the Secretary of Health and Human Services (HHS) to develop a national model disclosure form for marketing long-term care insurance policies. Sets minimum requirements for such form, including that it: (1) use standard, plain language for purposes of explaining covered services and benefits and restrictions; (2) use standard, consistent definitions for coverage of services and benefits; (3) provide for a standard, consistent disclosure of key provisions, such as monthly premiums, the maximum daily or monthly benefit, and the extent to which benefit amounts will be adjusted for inflation; and (4) have a standard, consistent format with respect to font, color, and type size to allow for easy comparison and not exceed one single-sided page.

Requires the Secretaries of the Treasury and HHS to promulgate regulations requiring issuers of qualified long-term care insurance contracts to use such form for marketing such contracts.

[Congressional Bills 111th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4078 Introduced in House (IH)]

111th CONGRESS
  1st Session
                                H. R. 4078

  To require the Secretary of Health and Human Services to develop a 
 national model disclosure form to assist consumers in purchasing long-
                          term care insurance.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                           November 16, 2009

Mr. Perriello introduced the following bill; which was referred to the 
                    Committee on Energy and Commerce

_______________________________________________________________________

                                 A BILL


 
  To require the Secretary of Health and Human Services to develop a 
 national model disclosure form to assist consumers in purchasing long-
                          term care insurance.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Long-Term Care Insurance Disclosure 
Act of 2009''.

SEC. 2. DEVELOPMENT OF MODEL DISCLOSURE FORM FOR LONG-TERM CARE 
              INSURANCE.

    (a) In General.--The Secretary of Health and Human Services shall, 
in consultation with the National Association of Insurance 
Commissioners and not later than 180 days after the date of the 
enactment of this Act, develop a national model disclosure form for 
marketing long-term care insurance policies.
    (b) Requirements.--In developing the model disclosure form under 
subsection (a), the Secretary of Health and Human Services shall ensure 
that at least each of the following requirements are met:
            (1) The model disclosure form shall be not more than one 
        single-sided page in length.
            (2) The model disclosure form shall use standard, plain 
        language for purposes of explaining the services and benefits 
        covered under the long-term care insurance policy involved and 
        restrictions on the services and benefits.
            (3) The model disclosure form shall use standard, 
        consistent definitions for coverage of the various types of 
        services and benefits provided under long-term care insurance 
        policies in such a manner as to ensure that issuers do not use 
        different terms to describe the same services or benefit.
            (4) The model disclosure form shall have a standard, 
        consistent format with respect to font, color, and type size to 
        enable consumers to more easily compare policies.
            (5) The model disclosure form shall provide for a standard, 
        consistent disclosure of key provisions, such as monthly 
        premiums, the maximum daily or monthly benefit, and the extent 
        to which benefit amounts will be adjusted for inflation in the 
        future.
            (6) The model disclosure form shall provide for such other 
        minimum standards as the Secretary determines appropriate.

SEC. 3. REQUIRED USE OF MODEL DISCLOSURE FORM IN MARKETING LONG-TERM 
              CARE INSURANCE POLICIES.

    (a) Application to Tax-Qualified and Medicaid Partnership 
Policies.--Not later than 1 year after the date on which the Secretary 
of Health and Human Services issues the proposed model disclosure form 
under section 2--
            (1) the Secretary of the Treasury shall promulgate a 
        regulation requiring, not later than 1 year after the date on 
        which the regulation is final, any issuer of a qualified long-
        term care insurance contract (as defined in section 7702B(b) of 
        the Internal Revenue Code of 1986) to use the proposed model 
        disclosure form for marketing such contracts; and
            (2) the Secretary of Health and Human Services shall 
        promulgate a regulation requiring, not later than 1 year after 
        the date on which the regulation is final, any issuer of a 
        qualified long-term care insurance contract that covers an 
        insured who is a resident of a State with a qualified State 
        long-term care insurance partnership under clause (iii) of 
        section 1917(b)(1)(C) of the Social Security Act (42 U.S.C. 
        1396p(b)(1)(C)) or a long-term care insurance policy offered in 
        connection with a State plan amendment described in clause (iv) 
        of such section to use the proposed model disclosure form for 
        marketing such contracts.

SEC. 4. DEFINITIONS.

    For purposes of this Act:
            (1) Long-term care insurance policy.--The term ``long-term 
        care insurance policy'' means--
                    (A) a qualified long-term care insurance contract 
                (as defined in section 7702B(b) of the Internal Revenue 
                Code of 1986); and
                    (B) a qualified long-term care insurance contract 
                that covers an insured who is a resident of a State 
                with a qualified State long-term care insurance 
                partnership under clause (iii) of section 1917(b)(1)(C) 
                of the Social Security Act (42 U.S.C. 1396p(b)(1)(C)) 
                or a long-term care insurance policy offered in 
                connection with a State plan amendment described in 
                clause (iv) of such section.
            (2) State.--The term ``State'' means each of the 50 States, 
        the District of Columbia, the Commonwealth of Puerto Rico, the 
        United States Virgin Islands, Guam, the Commonwealth of the 
        Northern Mariana Islands, and American Samoa.
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