New York Life To Pay Long-Term Care Insurance Dividend For The Seventh Consecutive Year
NEW YORK, N.Y., February 11, 2011 — New York Life Insurance Company announced today that its LTCSelect Premier long-term care insurance product will pay a dividend to policyholders this year. This is the seventh consecutive year that New York Life, a triple-A rated insurer1, has paid a long-term care insurance dividend.2
New York Life's long-term care insurance sales increased 12% in 2010, and the company's sales in December 2010 were the highest monthly sales on record. The company is committed to the long-term care insurance business and, to further its efforts in growing this market throughout the country, is significantly increasing its sales support infrastructure.
"The continued ability to pay a dividend in these times of economic stress when other insurers are exiting the business or raising rates sends a strong message that New York Life's mutual structure keeps us uniquely aligned with our policyholders. This structure allows us to focus on long-term value and stability for our customers. Our solid sales growth in 2010 is evidence that Americans are responding to this message," said Mike Gallo, senior vice president in charge of Long-Term Care Insurance at New York Life. "With the average cost of a private room in a nursing home in the U.S. now around $80,000 annually3, we remain committed to educating families and businesses about the need for long-term care insurance. The recent expansion of our sales support resources enables us to more broadly spread awareness about the significant role long-term care insurance plays in any well thought-out financial plan."
New York Life declared its first dividend to long-term care insurance policyholders in 2005. LTCSelect Premier policyholders qualify for the dividend payment when they reach their third policy anniversary. In addition to being one of only two companies currently paying a dividend on long-term care policies, New York Life is one of only a few insurers that has never raised premium rates on in-force policies.
New York Life Insurance Company, a Fortune 100 company founded in 1845, is the largest mutual life insurance company in the United States4 and one of the largest life insurers in the world. New York Life has the highest possible financial strength ratings from all four of the major credit rating agencies. Headquartered in New York City, New York Life's family of companies offers life insurance, retirement income, investments and long-term care insurance. New York Life Investments5 provides institutional asset management and retirement plan services. Other New York Life affiliates provide an array of securities products and services, as well as institutional and retail mutual funds. Please visit New York Life's Web site at www.newyorklife.com for more information.
1New York Life is rated AAA from Standard & Poor's, Aaa from Moody's Investor Services, AAA from Fitch, and A++ from A.M.Best for financial strength. Source: Individual Third Party Ratings Reports (as of January 6, 2011).
2Dividends are not guaranteed and are subject to approval by the Board of Directors.
3New York Life Insurance Company, Cost of Care Survey, 2009.
4New York Life is the largest mutual life insurance company based on the Fortune 500, ranked within industries, Insurance: Life, Health (Mutual), Fortune magazine, May 3, 2010.
5New York Life Investments is a service mark used by New York Life Investment Management Holdings LLC and its subsidiary, New York Life Investment Management LLC.