ND HB1516

Amends Chapter 26.1-45 of the North Dakota Century Code to add definitions related to long-term care insurance, including "ultimate lapse rates" (duration lapse rates remain level after accounting for shock lapses and mortality) and "hybrid long-term care insurance" (life insurance, annuity, or insurance policy providing long-term care benefits tied to death benefit or cash surrender value).

Creates new regulatory requirements for stand-alone long-term care insurance policies approved after July 31, 2023, mandating ultimate lapse rates at zero percent and an initial premium rate schedule with a margin for moderately adverse experience of at least thirty percent of lifetime claims.

Excludes hybrid long-term care insurance from the new lapse rate and premium margin requirements.

Clarifies that any product advertised, marketed, or offered as long-term care insurance is subject to the provisions of Chapter 26.1-45, regardless of other provisions.