On Air Now

Listen Now


Partly Cloudy
H 82° L 71°
  • cloudy-day
    Current Conditions
    Partly Cloudy. H 82° L 71°
  • cloudy-day
    Partly Cloudy. H 82° L 71°
  • partly-cloudy-tstorms-day
    Sct Thunderstorms. H 85° L 74°

The latest newscast

00:00 | 00:00


The latest traffic report

00:00 | 00:00


The latest forecast

00:00 | 00:00

'I've been raked over the coals': Action 9 investigates 130% insurance premium hike

'I've been raked over the coals': Action 9 investigates 130% insurance premium hike

'I've been raked over the coals': Action 9 investigates 130% insurance premium hike
Photo Credit: � 2019 Cox Media Group.

'I've been raked over the coals': Action 9 investigates 130% insurance premium hike

Action 9 exposes sky-high premiums that were just approved that could force thousands of families to cancel their insurance.


Todd Ulrich has tracked long-term care insurance premium increases for three years and now this could be the worst.


At 72, Carrie Ford is an interior designer who isn't ready to quit redecorating homes. But an investment she made 25 years ago to protect her golden years just blew up in her face.

“Well I feel I've been raked over the coals,” Ford said.

She got a notice from Genworth Life Insurance about a long-term care policy she took out in 1992. The notice announced a jaw-dropping rate hike. Her $1,700 annual premium soars to more than $4,000--a 130 percent rate hike.

More from Action 9:
Lake County man says solar panels haven't lowered his electric bill

“And here I am close to my retirement age-- and I'm doomed,” Ford said.

The rate hike phases in over two years.

In the 1990s, the long-term care industry claimed if you started your policy then, you locked in lower premiums.

“Why did I take the policy out when I was younger If I didn't need to,” Ford said.

Florida's Office of Insurance Regulation just approved the hike. Action 9 asked the state agency why. An agency spokesman said Genworth wanted a 310 percent increase and the 130 was approved only with a seven-year lock against more increases.

Customers who planned on that policy covering assisted living or a nursing home will now have to drastically cut coverage to avoid big premium hikes, or they may have to cancel.

The rate hike not only impacts policy holders but their children, too.

“The reason you took out the policy was to not burden your children,” Ford explained.

Have a tip for Action 9? Click here to contact Todd!

A Genworth spokesperson told Ulrich the company lost $3 billion from older policies because of higher claims than expected. And with rate hikes, the company only breaks even. Genworth also claims the dilemma is industrywide.

Ford is not buying that answer.

“I can't afford this policy any longer,” she said.

The company claims that if a customer cancels, they'll still have some limited coverage, depending on what they paid.

However, customers like Ford still fear even bigger premium increases are possible before they even get to make a claim.

Genworth's written response to Action 9:

Reasons for Increase

Genworth has lost $3.1 billion cumulatively in our long term care insurance business on our older policies, due to higher than expected claims costs, and we continue to lose money on these older policies each year -- losses we will never recover.  This is an issue that has affected the entire long term care insurance industry.  We continue to file for premium rate increases to bring these older policies closer to break-even.  The rate increases we are currently implementing in Florida were filed with and approved by the Florida Office of Insurance Regulation and are being phased in over multiple years.

How We Work with Policyholders Who Receive Premium Increases

Because we recognize the burden and uncertainty that premium rate increases can create for our policyholders, we continue to offer them a variety of options to consider when faced with rate increases.  These options can help them reduce or avoid premium increases altogether by adjusting their benefits, while still retaining meaningful coverage. We also make sure that no policyholder loses the premiums they’ve paid over the years – even if they chose not to pay a penny more.  To anyone who does not already qualify for it, we voluntarily provide a paid-up policy equal in value to the premiums paid to date, less any claims paid, so that they still have some coverage in place and can still access care coordination services, which can be critically important at the time of need.  We have a dedicated team of customer service representatives that are available to assist our policyholders by answering questions and reviewing these options. 

Even with the premium increases, long term care insurance provides a tremendous benefit, which explains why the vast majority of our policyholders elect to pay the rate increase rather than reduce their coverage.  Policyholders who purchased a long term care insurance policy at a younger age will continue paying lower premiums than policyholders who purchased the same benefit at an older age.

Our Commitment to the LTC Industry

Genworth remains committed to the long term care industry and committed to helping the industry fix the problems of the past. In fact, we are working with regulators to adopt a new annual rerating model on future LTC insurance policies, similar to the way home, auto and health insurance policies are rated, that is intended to result in smaller, more frequent changes -- whether increases or decreases -- as needed, in order to reduce the likelihood of a policyholder experiencing a significant rate increase after several years of level premiums. We believe this new pricing framework will result in more predictability and manageability for those who purchase the product. 



Read More

The Latest Headlines You Need To Know

  • President Donald Trump said Wednesday in 'a major breakthrough' he is lifting all sanctions against Turkey. >> Read more trending news  The sanctions were imposed last week. Turkey will stop combat and the ceasefire will be permanent, the President said. 'We have saved the lives of many, many Kurds,' Trump said. 'We've done something that is very, very special.' Trump said Turkey and Syria must keep the peace.  'It's their neighborhood. They need to take care of it,' Trump said. 'Let someone else fight over this long bloodstained sand.' The president said a small number of troops would remain in Syria to protect oil interests. Wednesday morning, Trump tweeted there was 'Big success on the Turkey/Syria border.' 'Safe Zone created! Ceasefire has held and combat missions have ended,' Trump tweeted. Turkey and Russia reached an agreement Tuesday, installing their forces along the border of northeast Syria after U.S. troops that were withdrawn from the area, The Associated Press reported. On Tuesday, Russian President Vladimir Putin and Turkish President Recep Tayyip Erdogan met in Sochi, Russia, and revealed a 10-point memorandum about Syria, CNN reported. According to the memorandum, Turkish military and Russian military police will patrol the border. The United States was not included in the negotiations.
  • A Missouri man recently fired from his job at Arby’s for allegedly setting fires returned Saturday to the restaurant, where police allege he mutilated and decapitated a cat in the men’s restroom. Tanner Maggard, 19, of Lee’s Summit, is charged with second-degree animal abuse and second-degree property damage, according to online Jackson County court records. The animal abuse charge, which involves abuse by torture and/or mutilation while the animal was alive, is a felony. >> Read more trending news  WDAF in Kansas City obtained the court documents, including police reports that allege Maggard went to Arby’s on Saturday and placed an order before going into the restroom. When he came out, the records show, he asked the manager, “Oh, I see you remodeled the bathroom, huh?” Maggard went back into the restroom a short time later and was still in there when the manager went in to clean it. The manager told police he could hear Maggard in a stall, coughing and gagging. The manager left the restroom, followed by Maggard a short time later. Maggard went outside, the court documents say, according to WDAF. When the manager returned to finish his cleaning, he found a mutilated and decapitated cat on the diaper changing table in the stall where Maggard had been, the news station reported. Blood covered the walls, door and toilet. The manager told officers he went outside, where he spotted Maggard sitting in his truck, waiting to see his former boss’ reaction to the scene he had left behind, the court documents allege. Maggard then drove away. The records show that responding officers who processed the scene in the restroom did not detect the odor of decomposition, which indicated that the cat was recently killed, WDAF reported. Maggard repeatedly denied knowledge of the cat’s demise when questioned by detectives, the news station said. The restaurant did not have security cameras in place.  The restaurant had to replace the changing table and toilet in the stall and repaint the walls, the documents say. Online court records show Maggard was booked into the Jackson County Jail with bail set at $10,000. Maggard appeared to have bonded out as of Wednesday, according to jail records. Maggard is not allowed within 1,000 feet of the Arby’s. He is also not allowed to have contact with domesticated animals, the records show.
  • We told you about the Kitty Beautiful Cat Cafe earlier this month, now they're looking to hire young adults on the Autism spectrum. This new Orlando cafe is looking to give Autistic adults a big step towards independence. Heather Strauss is a co-owner of the cafe and a mom to two Autistic kids.  “I want to help take care of other people’s kids, kind of like how I want to take care of my own.” Strauss told me about the Autistic employee she just hired. “His parents started to cry, same way I would’ve. It just means the world because as a parent of kids on the Autism spectrum you’re always fighting for your kid, you’re always fighting for opportunities.” Autism disorders specialist, Kimberly Snoeblen, describes what makes Autistic people such great assets to the workforce.  “They have great abilities. They will be the person that’s always on time. They will be the person that follows the rules to the nth degree.” The Kitty Beautiful Cat Cafe will be having its grand opening the weekend of November 1st. Until then, Strauss plans to set up more young Autistic adults for success.
  • The search goes on for the man who a woman said grabbed her while she was jogging along the Northlake Parkway Trail in Lake Nona. According to the Orlando Police Department, the woman was on a run around 6:30 a.m. Sept. 23, when a man came behind her and touched her buttocks and her shoulder.  Police released a composite sketch Wednesday. They said detectives worked with the woman to create it.  Investigators said the man is described as Hispanic and in his early 20s. He stands 5 feet, 8 inches and has black spiky hair.  Anyone with information regarding the case is asked to call Crimeline at 800-423-TIPS.  No other details were released.

Washington Insider

  • Denouncing the impeachment investigation of President Donald Trump undertaken by Democrats in the House, several dozen GOP lawmakers stormed into a secure hearing room in the bowels of the Capitol on Wednesday, demanding that the proceedings be made public, and delaying a scheduled deposition involving a Pentagon official for a little over five hours. 'We're going to go, and see if we can get inside,' said Rep. Matt Gaetz (R-FL), as a group of several dozen Republicans pushed their way into the room, unhappy with how Democrats are handling this investigation. 'This is very unfair to the President,' said Rep. Debbie Lesko (R-AZ). 'The American people deserve a public and open process,' said Rep. Mo Brooks (R-AL), as Republicans prevented three different committees from moving ahead with Wednesday's hearing. Those interrupting the proceedings included Republican lawmakers who are allowed into the secure hearing room - because they are on one of the three committees involved in these closed door depositions - Intelligence, Oversight, and Foreign Affairs. Democrats labeled the sit-in a political stunt that smacked of desperation. 'Trump wanted a foreign government to investigate his political opponent,' said Rep. Tim Ryan (D-OH). 'That is a crime.' “Today's circus-like stunt will delay but it will not prevent our search for the truth about the president’s stunning misconduct,” said Rep. Val Demings (D-FL). 'GOP 'storming' a classified deposition was a ridiculous stunt,' said Rep. Carolyn Maloney (D-NY). Democrats also criticized the GOP effort for violating rules on security, as a number of Republican lawmakers brought cell phones into the secure facility, which is prohibited.  It resulted in officials having to conduct a sweep of the rooms, to make sure no electronic devices had been left behind. 'You may wonder why is it happening now?” asked Rep. Ted Lieu (D-CA).  “Because Bill Taylor gave a devastating opening statement yesterday. They're freaked out. They're trying to stop this investigation.” Taylor is the top U.S. diplomat in Ukraine - he testified Tuesday before investigators, making the case that President Trump was withholding military aid for Ukraine in a bid to get the Ukraine government to publicly announce investigations which might help Mr. Trump's re-election bid. In a tweet on Wednesday afternoon, the President took direct aim at Taylor. Reports indicated the President may have been told by allies in the U.S. House of their Wednesday plans. “This looks awfully like obstruction,” said Rep. Don Beyer (D-VA). After ordering some pizza and refusing to leave the room known as a SCIF - Sensitive Compartmented Information Facility - GOP lawmakers moved on after about five hours, as Laura Cooper, a deputy assistant Secretary of Defense began her testimony around 3:15 pm.