My husband and I have LTC policies (5 year) through Genworth. Genworth has been in the news lately because of its financial problems resulting from LTC policies. The company obviously misjudged the cost to them. If the company is unable to honor its policy obligations, what are the alternatives for us? Does the State of Wisconsin have some form of coverage for LTC insurance policies similar to financial institution deposit insurance provided by the FDIC?

Every state has a state guaranty fund which is designed to help policyholders of failed companies. You can see how it works and specifically how it works in your state here: https://www.nolhga.com/policyholderinfo/main.cfm. None of us in the industry expect Genworth to fail. The management is working very hard to ensure that every obligation is met. Genworth has a great track record with claims payment.

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