Raised Bill No. 406, introduced in the General Assembly, pertains to long-term care insurance and includes two main provisions. The first provision, effective January 1, 2025, restricts insurance companies and similar entities from implementing premium rate increases for long-term care policies that exceed the most recent calendar year average in the consumer price index for urban consumers. This limitation applies only to policies initially purchased on or before December 31, 1985, and to policyholders who are either 80 years of age or older or who have paid a maximum lifetime premium rate increase of at least 400 percent. The term "long-term care policy" is defined as in sections 38a-501 or 38a-528 of the general statutes.

The second provision requires the Office of Policy and Management, in consultation with the Insurance Department, to prepare and submit a report by January 1, 2025, to the joint standing committee of the General Assembly that oversees insurance matters. This report will evaluate the feasibility of providing a state-financed death benefit based on premiums paid by policyholders for long-term care insurance policies purchased through the Connecticut Partnership for Long-Term Care. The purpose of the bill is to limit premium rate increases for certain long-term care policies and to assess the possibility of offering state-financed death benefits for these policies. The bill does not include any deletions from current law but adds new sections to be effective on the specified dates.