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  1. Jennifer Rellar

    October 24, 2009

    Isn’t there any legal action that policy holders can take against CalPERS and it’s Long Term Care Group.

  2. B Jacobs

    November 11, 2009

    I too am interested in pursuing legal action against PERS LTC. In the promotional material that I received when I signed up (in 2000) it says “rates are designed to remain stable.” This is the 3rd significant increase since then and after this my rates will have doubled. I am outraged. What are the possibilities of a class action suit?

  3. Ryder

    December 25, 2009

    I would be more than happy to join a class action lawsuit against CalPers LTC. My wife and I joined in 1997 and are paying for Inflation Protection. The 5% annual increase that will accompany the 22% (for the first year) increase completely (and in my mind, illegally) erases the ‘Inflation Protection’ clause in the contract. Our rates will have more than tripled by 2011, and yes, we were also under the impression that the premium would rarely, if ever, be increased. This is an outrage!!

  4. W Grimes

    March 23, 2010

    I have all of the promotional literature from CalPers when I initially signed up over ten years ago. Every graph and statement clearly shows a stable monthly premium with increasing benefits. The virtue of early enrollment with inflation protection is a significant selling point throughout the documents. The latest of three rate increases since my sign-up completely contradicts the marketing points extolling inflation protection and the premium costs are no longer fixed. The notice I received has no option offered to cancel and get any money refunded from a proposal that has radically, and I believe illegally, changed from what was first offered to entice policy holders.

    There must be a class action lawsuit and coverage should either be provided meeting something close to the original terms or money refunded and this underfunded ponzi scheme stopped. I am looking for a law firm interested in taking this case. I believe it will be a very solid case based on the promotional literature I reviewed from my files last evening that promise a completely different model of coverage and cost than what is currently being offered. Thank you.

  5. robert gantt

    March 23, 2010

    for people on fixed incomes these increases are a real burden. i have gone from lifetime coverage down to the minimum 2 year limit. if i had kept my current coverage it would have cost me $800.25 a quarter almost double what it started at after 7 years. we are now paying for poor administration of the plan. i echo the statements made above.

    • Thanks for the post Robert. I understand how frustrating it can be. Let me know if there is ever anything we can help you with. You can always email me directly from my Bio.

  6. Jim and Sharee Cope

    March 23, 2010

    Is there any class action lawsuit in the works against calpers? My husband and I have both had it since we were 56. We are now 68 and feel that when we signed up for the covered, we were pretty much assured that our premiums would pretty much stay the same. We have always had the inflation protected top coverage they offer. Now that we are getting futher into our senior years, and closer to when we could possible need that coverage, we are being priced out of being able to afford it. We feel Calpers has backed off of what that “promised” us. The percentage increase from what we originally agreed to seems illegal. Is it?

    • Thanks for the post Copes! As of now, no our Firm doesn’t have any actions against CalPERS, however we understand your frustration with the system. Let us know if we can help! You can always email me directly from my Bio.

  7. Stanley Maleski

    March 29, 2010

    This rate increase is even more outrageous as more about CalPers investment mismanagement comes to litght. I am ready to join a class action suit if there is a fair chance of some relief.


    March 29, 2010

    I also believe a class action law suit should most defintely be filed! There is no way
    it is legal to pay into an insurance program that only raises the premiums each and every
    year to hold on to what we have paid into it or the past 13 years!!!!
    It is the same as the mob forceing shop owners to pay for protection.
    or drug dealers for protection! I KNOW IT IS ILLEGAL!!!
    SIGN 2 OF US UP!


    March 29, 2010

    I believe a class action law suit should most defintely be filed!
    it is legal to pay into an insurance program that only raises the premiums each and every
    year to hold on to what we have paid into it or the past 13 years!!!!
    It is the same as the mob forceing shop owners to pay for protection.
    or drug dealers for protection! I KNOW IT IS ILLEGAL!!!
    SIGN 2 OF US UP!


    March 29, 2010


    • Lily,

      Thank you for the post. We can certainly understand your frustration. Although our Firm does not have anything in process at this time, we will let you know if we ever move forward.

  11. InsuringSoCal

    March 30, 2010

    Unfortunately, CalPERS is not regulated with the Department of Insurance because of their filing as a Non-Profit Organization. Without the DOI to regulate CalPERS all clients face the risk of new rate changes as the CalPERs feels fit. However, all insurance carriers in California are regulated by the DOI and have strict guideline which make it nearly impossible to increase rate on an existing Long Term Care policy. E-mail if you would like a free rate quote

  12. Count me in on a class action lawsuit. I am furious about this increase- the inflation protection is fraudulent and Cal Pers should be held legally responsible. I want all the $ back for the past 8 years so that I can shop for a more financially stable LTC program and at my age now of course it will cost more than it would have.

    • Janet,

      Thank you for the post. Although our Firm does not currently have anything in the works, I will be sure to let you know if we do in the future. Check back on the blog often!


  13. Noelle Bram

    April 22, 2010

    I’m up for class action – this is highway robbery!

  14. Noelle Bram

    April 22, 2010

    one more thing – the materials still say that calpers ltc will not raise rates due to age or health issues. clearly the intent is to mislead consumers who naturally interpret this to mean rate stability. calpers wants to keep our past premiums and force us out of the program so they don’t incur any cost of care. win win for calpers – loose loose for seniors at the most vulnerable and financially inflexible point in their lifes. this is really beyond the pale. it is reprehensible and should be illegal. it really is stealing from our senior population. shame on calpers!

  15. Noelle Bram

    April 23, 2010

    The phone number for the executive offices of calpers is 916-735-3829. I have been trying to reach the executive in charge of ltc. I think he or she is hiding because the Admin. Assistant keeps telling me that he/she is not available. I will keep trying – you can ask to be transferred & leave a message. Class action sounds like a plan!

  16. Noelle Bram

    April 23, 2010

    SORRY – THE NUMBER IS 916-795 -3829 – the Admin gave me the wrong # for the LTC exec last night.

  17. Pat Nakamura

    May 8, 2010

    I agree with all the statements above. Mostly that I feel that the increases are illegal. Especially when we were told that rates would not increase if we paid the inflation protection rates up front!! Help!!

  18. Karen Lee

    May 21, 2010

    Iam 70 years old and have been told by Pers Long Term Care that the board has voted to raise rates through 2014 , at that rate I will no longer be able to aford long term care. I have paid into the system for fourteen years, please let me know I am definitely in on a class action suit.


    June 11, 2010

    calpers LTC rate increases are more than disgusting.
    Any legal action against them has my support.

  20. Elayne Lembcke

    September 2, 2010

    The above also warns that Medicaid – which is medical welfare for the poor and bankrupt – will be one of the largest funding sources.

  21. Gary Wegener

    September 16, 2010

    Are you telling us that Yette Associates sees nothing to base legal action on?? I forgot about the inflation protection (I got that also; my rates went from $120 in 2001 to $212 now for the lifetime benefit/$192 daily max. BUT they now tell me that the average daily care reqmt is $288/day in San Francisco area, $266/day in LA area (I am closer to SF), so even with the premium increase, I am only covered for 67% of the cost at a Nursing Home.

    Premiums went up 77% despite “inflation protection” and it covers only 2/3’s of the cost it was supposed to cover. And there is no basis for legal action? Not even implied marketability:

    Implied warranties come in two general types: merchantability and fitness. An implied warranty of merchantability is an unwritten and unspoken guarantee to the buyer that goods purchased conform to ordinary standards of care and that they are of the same average grade, quality, and value as similar goods sold under similar circumstances. In other words, merchantable goods are goods fit for the ordinary purposes for which they are to be used. The Uniform Commercial Code (UCC), adopted by most states, provides that courts may imply a Warranty of merchantability when (1) the seller is the merchant of such goods, and (2) the buyer uses the goods for the ordinary purposes for which such goods are sold (§ 2-314). Thus, a buyer can sue a seller for breaching the implied warranty by selling goods unfit for their ordinary purpose.

    Do you know of any other legal firms that would take this on?

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