Thinking about a time when you will need help taking care of yourself is not fun. That is why most people put off discus...Read more
Pay Attention to the Small Details When Dealing with Long-Term Care Insurers
- September 15th, 2017
A long-term care insurance company recently cancelled the insurance coverage of an elderly woman who accidentally wrote the wrong amount on her premium check. The case illustrates the need for policyholders to pay attention to the details.
Madeleine Maldonado, of Concord, Massachusetts, had a long-term care insurance policy through AIG. According to an article in the Boston Globe, when Ms. Maldonado wrote a check to pay her $3,399.91 long-term care insurance premium, she put down the correct amount in the number box, but she accidently wrote out "three thousand three hundred and 99/100 dollars."
Local Elder Law Attorneys in Ashburn, VA
Law Offices of John L. Laster
John Laster is a lawyer licensed to practice in Virginia, Maryland and the District of Columbia. He limits his practice to wealth transfer planning, trusts, wills, powers of attorney, health care decision-making issues, estate administration and related tax, elder law and disability concerns. Listed in The Best Lawyers...
The Law Firm of Evan H. Farr, P.C.
In practice since 1987, Fairfax Attorney Evan Farr is widely recognized as one of the leading Elder Law, Estate Planning, and Specials Needs attorneys in Virginia and one of foremost experts in the Country in the field of Medicaid Asset Protection and related Trusts. Evan Farr has been quoted or cited as an expert by n...
Margaret A. O'Reilly, PC
Margaret A. O’Reilly is an estate planning and elder law attorney with over thirty-five years of legal experience. Attorney O’Reilly graduated from Duke University with a degree in psychology, and received her law degree from Northeastern University School of Law in Boston, Massachusetts. For over 15 y...
Under banking and finance rules, if a check has contradictory terms, the words are considered the correct amount. Therefore, Ms. Maldonado's premium payment was $98.92 short. AIG sent the 81-year-old Maldonado a past-due invoice for the amount she owed, and when Ms. Maldonado did not respond, they cancelled her policy. Ms. Maldonado's daughter appealed to the company to accept a late payment, but the company refused. Her mother now has dementia and no long-term care coverage.
This incident illustrates the need to be extra careful when dealing with long-term care insurance companies. You need to make sure all your I's are dotted and your T's are crossed because small mistakes can lead to huge problems. It is also important not to ignore letters or notifications for payment from the insurance company.
For more information about Ms. Maldonado's coverage loss, click here.
For more information about long-term care insurance, click here.
Last Modified: 09/15/2017