Maryland Long-Term Care Rates Faced Proposed Hikes
Policyholders may see premiums climb after four insurance companies requested significant rate increases.
Updated on Sept. 21, 2026 in Insurance
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Do you worry that increasing long-term care premiums will jeopardize your long-term retirement savings?
Four insurance providers have requested premium rate hikes for long-term care plans, impacting 12,666 policyholders in Maryland. The state insurance administration is currently reviewing these proposals, which could lead to significant cost increases for seniors over the coming years.
Why it matters
Companies are seeking higher premiums due to higher-than-expected benefit usage, longer policyholder lifespans, and lower interest earnings on reserves. This shift directly threatens the long-term affordability of care coverage for thousands of residents currently relying on these plans.
Official filings show 12,666 Maryland policyholders are impacted by rate requests as high as 242% from MedAmerica, 101.1% from Union Security, and 39.7% from Transamerica. These figures follow a recent 32.25% hike approved for Continental Casualty Co.
The players
Maryland Insurance Administration
The state regulatory agency responsible for overseeing insurance rates and protecting consumer interests.
MedAmerica Insurance Co.
An insurance provider that requested a 242% premium increase for its long-term care plans.
John Hancock Life Insurance Co.
An insurance provider proposing rate increases ranging from 27% to 142%.
Union Security Insurance Co.
An insurance carrier that proposed a 101.1% premium hike for its policyholders.
Transamerica Life Insurance Co.
An insurance firm that requested a 39.7% increase on its long-term care premiums.
The details
Insurance companies argue that higher benefit utilization and lower mortality rates have necessitated these increases to maintain plan viability. If approved, the hikes would be phased in over several years, with many plans capped at a 15% increase per year. These adjustments are intended to offset broader industry challenges including adverse experience in policy persistency and lower-than-anticipated investment earnings.
Timeline
January 2026: The Maryland Insurance Administration approved a 32.25% premium rate increase.
September 17, 2026: Four insurance companies presented their latest rate increase requests.
September 24, 2026: The public comment period regarding these rate proposals closes.
Next several years: Proposed rate increases would be phased in for policyholders.
Money Landscape
These requests highlight the ongoing pressure on long-term care affordability as insurance companies adjust to higher utilization and lower interest earnings. This development continues a trend of rising premiums seen in the state, following the approval of other hikes earlier this year.
Affected policyholders should review their existing policy terms to understand how a 15% annual cap might impact their long-term budgeting. If you hold these policies, consider discussing your options and potential alternatives with a qualified financial professional.
The takeaway
Seniors should prepare for the possibility of annual premium costs doubling or tripling over the next several years if these requests move forward. Track the final regulatory decisions through the Maryland Insurance Administration to determine how these changes will alter your specific monthly budget.
Further reading
Learn more about how state regulators evaluate price shifts at Maryland Insurance.
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Do you worry that increasing long-term care premiums will jeopardize your long-term retirement savings?
