The pressure being applied by lawmakers and federal employee advocacy groups over the FLTCIP premium spike may be starting to have an impact.
The House Committee on Oversight and Government Reform sent a letter yesterday to the president of John Hancock Financial Services asking for more information about the “significant FLTCIP premium increases and their effect on federal workers.”
It was announced by OPM recently that federal employees under the Federal Long Term Care Insurance Program (FLTCIP) will have an average premium increase of about 83%. That got the attention of not only the affected federal workers but also several Congressmen and Senators who have a large number of federal employees in their districts.
The authors of the letter asked John Hancock president Craig Bromley to provide various documents about the premium increases, including:
- An unredacted copy of the latest contract awarded by OPM as well as copies of past contracts
- Documents relating to the analysis of the program stating that current premiums would not be sufficient to meet projected benefits costs
- Quarterly reports on the investment returns on FLTCIP’s assets
The Committee set a deadline of September 2 for the requested documents.
One of the letter’s authors is Congressman Gerry Connolly (D-VA) who also is one of the lawmakers applying pressure to OPM for more information on why the premiums are increasing so much.
A copy of the letter is included below.
2016-08-23 House Oversight Letter to John Hancock Re: FLTCIP Premiums